I don't; we are all stuck in the same and interconnected pyramid scheme of modern banking. It's just a depressing sign of how close the economy is of toppling over again, and perhaps in the worst way yet.Am I the only one who feels schadenfreude at the collapse of Credit Suisse? I've always hated how smug the Swiss (by that, I mean mostly Swiss media and Swiss economists) are about their supposed superiority in financial and economic matters and advertising it as a blessing to the world, and now they have to save their holy banking system on the taxpayer's bill. I have no sympathy.
I don't; we are all stuck in the same and interconnected pyramid scheme of modern banking. It's just a depressing sign of how close the economy is of toppling over again, and perhaps in the worst way yet.
Not just the financial sector in terms of stocks, bonds, investments and betting though. We have inflated housing markets, bolstered by almost 15 years of low interests found worldwide. Sweden is one of the major offenders in the EU, through a combination of politics, necessity, reckless spending and increased real wages. I am so glad that I and the wife were lucid enough back in 2014, when we were looking around to not join the hype train (my parents bought a 3 room + kitchen apartment in 2010, in the early stages of the boom. They have paid their loans off at this point). Sure, we rent and therefore have no prospects of selling anything with profits, but we also don't suffer directly from the increased interest rates, and if this keeps going then the bubble will likely burst and people will have to leave homes. Lots of home owners are over-leveraged.It seems the financial sector has not learnt anything from past mistakes…
It seems the financial sector has not learnt anything from past mistakes…
Mortgage rates are time-limited here and subject to change afterwards. Long-running contracts are set with higher rates than short or medium terms were which is why many opted for short/medium term.You really only are subject to the increase in interest rates if you have a variable-rate mortgage, which I am not sure why anyone would take out when rates were so low (at least not in the US .. no idea how that works anywhere else