This could be very bad for the bank's. Carillion turned itself into a company of sub contractors , who employed thousands of large and small company's. I can see hundreds of small company going bust with a few bigger ones really struggle to get pass this, and it will be the bank's having to deal with this over the next few months as company start to go bust or can't service there loans. and the banks try and support them pass this. But at the end of the day banks will take a hit on this, question is by how much.
I don't think the government would or could turn Carillion into another RBS or Lloyds. more likely let it be broken up. Vince cable went on about the banks being to big to fail. what about some of the big company and corporations, don't see him shouting about this.
Sorry, I'll clarify - it's been a dog of a share for the best part of the last decade.
You are right, there does appear to be a little bit of light at the end of the long RBS tunnel. As for the share price it does tend to jump high and quick, then retract slightly, stay at that level, before reaching a new high.
You say this has been a dog of a share, that true in the past and so has Lloyds. But this last year has seen RBS climb from just over £2 to £2.90 and now posted profits quarter on quarter. Settle claims against it, and now looks likely to post a decent profit for the year. Showing it can now almost now put most of the trouble in the past. This looks very promising share to hold going forward. Also when this share price jump's it tends jump high and quick, so catching the rallies can be very rewarding. Am up almost £5k with several still open position up another £1.5k but not as yet closed position, since xmas.
Lloyds has now made that steady recovery and is posting profit and slowly increasing it's dividends. Which this year will start to show in it's share price. RBS IN NOW clearly past that recovery stage and starting climb again. The next hurdle for RBS is return to paying dividends next year and the sale of government shares.
It's a very quite board because while you say Lloyds has been treading water, RBS has been a complete dog for a number of years. Although if you're canny enough you'll sell into the rallies and you should do okay.
Thanks to post on the LLOYDS site, about RBS I decided to have another look into RBS. Thankfully so far it has worked out well. As you say LLOYDS have been treading water in it's share price. But this year it might make that break out if the next set of results are very good along with the dividend payment. But with RBS I feel that has already started at the beginning of last year and another 20-30% this year may well be on the cards. Let hope so.
My, my ...this is a quite board compared with LLOY. And, indeed, there is much more excitement given that the RBS sp has risen by around 27% over the last 12 months whereas LLOY has been treading water.
Hi II Editor,
Can you help clear something up for me, as you seem very knowable about RBS. Am new to RBS and although I did a bit of reading before I brought into RBS, I lost track on the bit about the conditions for the return for dividend payment. I did read that dividends where not due to paid out till early 2019 but forgot why. Is it the US, DOJ settlement being one and maybe the government insurance scheme another or the ECB about the disposals of W&G or Is it all 3.
Clearly RBS is now making a profit quarter on quarter on the day to day side of business, but is having to put money aside for PPI and lawsuits. Which will reflex on the overall profit it might declare for the Full year results due out in February. Should RBS get a settlement before results out and declare profit than the target price you mention £3.53 next year is I think achievable, let's hope so. Bit surprised how quite this boards is given the share price has climbed 70-80p in a year and RBS is now it seems making a profit.
"Â The Royal Bank of Scotland (LSE:RBS)It's time for our monthly moan about LSE:RBS:RBS, the bank that likes to say "doh". Oddly though, for four days earlier this month, the company share price actually managed to close a session above the trend ..."
" The Royal Bank of Scotland (LSE:RBS) It's time for our monthly moan about RBS, the bank that likes to say "doh". Oddly though, for four days earlier this month, the company share price actually managed to close a session above the trend since ..."
I think the plan is to try and sell 2/3 of the share's which is still a lot. But if it is manage right and RBS continues increase profit quarter on quarter and it's share price increases in the same way as the last year. Than by the time the sale start the government could be close to break even price and over time pass that price. Hopefully it has learnt from Lloyds sale to get it right this time.
As for the so called "bad bank" after 10 years most loan's will by now be back it order, either paid off or now classed as good loans. I myself had a BTL mortgage which was classed as a bad loan because of the housing crash. The value drop 40% and 30% below what I owed. Even though I had never missed a payment and was in fact ahead in my payment, because I owed more than the value of my property it was classed as a bad loan. Over time I reduced what I owed and the value when back up a bit. which most likely the same for most other loans that have not been sold off.
" FTSE this week (FTSE:UKX) & GBP EUR In common with, we suspect, most of the UK, we've some doubts as to the integrity of any vaunted agreement between our esteemed leaders and the European mob. However, currency markets appear on the verge of ..."
I would not bet on the government selling its stake. There is likely to be a general election in 2018 when May's government collapses due to persistent squabbling and when Corbyn wins RBS will be nationalised. It won't cost that much as the government owns most of it now. This will be extremely good news for small businesses as the bank will be set up to stimulate the economy rather than seize their customers' assets.
Given these small businesses will be making claims running into millions, I cannot see how RBS can have lost its 'bad bank' status.
The news comes as RBS continues its rehabilitation from its state-backed bailout in 2008, prompted by the financial crisis.
On Thursday, it said it had closed its so-called "bad bank", which was set up to handle toxic assets stemming from the crisis.
Earlier this week, RBS passed the Bank of England stress tests, having failed in 2016.
In last week's Budget, the government revived plans to sell down its stake in the bank, aiming to sell £15bn of its shares by 2023.
When I read a post on this last week, on another site it seemed to indicate from the post the Government was going to sell by march 2019. But I now know It does not plan to start selling till after march 2019, which is inline when RBS is expect to start paying dividends again. Give the time scale, over the next 5 years and the start as a tax payer I feel a lot happier that we'll get the money back and make a profit. Only thing is if they insist on selling in larger trance. Which will only hold the price back. Hope they learnt from the sale of LLOYD'S and drip feed the share onto the market.
Also thanks to that post I had another look at RBS and was surprised how well the share price had done. SO much so I brought some share and open some trading position in which I already banked £600+ profit. So a good start to my RBS holding.
New to RBS and decided to take a chance. Although wished I brought in a few months ago. It now looks like RBS are starting to make a profit again. Which has to be good for the share price. But am not sure about the dividend situation, looks like RBS has to get approval next year (early 2019) after RBS comes out of the government insurance or is it W&G disposal. Read that many thing in the last day or two forgot where and which one it was. It also seem they have settle a few big law suit or come to some sort of agreement, and are see light at the end of tunnel which regards to claims against them, add too that the last 2 quarter's they have made a profit. Any help to clarify the dividend situation and what the Full year results are expected to show would be gratefully received.
" FTSE FOR FRIDAY (FTSE:UKX) Last nights commentary against Sirius Minerals unintentionally described a problem being faced by wider markets. One heck of a lot of "things", from BRENT to GOLD to The Banks have broken trend, then messed around ..."
"Royal Bank of Scotland (LSE:RBS)We relish our monthly visit to the LSE:RBS:Royal Bank of Scotland with similar delight to visiting a blind dentist. Though, to be honest, it's easy to harbour suspicion most dentists are visually impaired ..."
" Royal Bank of Scotland (LSE:RBS) We relish our monthly visit to the RBS with similar delight to visiting a blind dentist. Though, to be honest, it's easy to harbour suspicion most dentists are visually impaired frustrated jokers. "So, how are ..."
It really does amaze me that they have no obligation to tel you why. It sounds a bit like being thrown out of a pub because your friends are drunk! I am particularly surprised that banks are quite happy to open accounts for criminal to defraud old people of their life savings and then pretend they don't know where the money has gone to! Hey ho...
" FTSE THIS WEEK (FTSE:UKX) Sometimes trends are strange. For the week ahead on the FTSE some nerves feel apparent. Given events in Europe, it seems sensible to suspect the markets are ready to panic if Spain opts to increase its political ..."
" FTSE FOR FRIDAY (FTSE:UKX) & SPAIN Too. Having lived through the Scottish independence thing, we've a horrid fascination watching events in Spain unfold and suspect the worst is coming. Of course, we've kept a close eye on the IBEX and it ..."
I have it on good authority that brokers have been advised to raise their target price and up their rating of RBS, by government ministers with the intention of dumping this train wreck on the public at an elevated price. Massage the reality are the words they use.
The truth about RBS is that it is still technically bankrupt; it still has billions of toxic assets on its balance sheet from the Fred Goodwin days and most of those toxic assets wont be declared until its back in the private sector. I also have it that if and when the government finally sell their stake to naive retail investors the bank will make a much needed cash call for billions with immediate effect
Yet another example of dirt bag politicians defecating over people and using them for a doormat. Its a vocation for disgusting human beings who have failed at everything else.
The Q3 update is on October 27; expect it to disappoint.
Also expect brokers to follow government orders and issue upbeat reviews and price targets on RBS.
Their market capital is an eye watering £33.4 billion, valuing it at more than Barclays.
Another issue with this mostly retail bank is the unsecured personal debt timebomb
But why would a bank decide it no longer wants to do business with one of its customers?
The British Bankers Association said this might happen if the relationship with the customer has broken down, the customer has permanently moved to another financial jurisdiction, or there are suspicions of criminal activity, such as money laundering, implicating the account. It said that where crime is suspected banks are only allowed to give limited explanations to customers because they have an obligation not to tip off suspected criminals.
Usually this is because, for some reason, there is a suspicion of money laundering. There have been numerous cases recently of this happening to perfectly innocent people. Because banks are scared of losing the ability to transact business in America they go over the top. The banks are not allowed by law to give the customer any information as to the reason why they are taking the action. Think of anything recent which might give them suspicion of some potential for money laundering however innocent it might be. Good luck.
Has anybody been asked to close their current account with RBS? I received a letter giving me 60days to transfer my direct debits etc. When I asked why I was told they have no legal obligation to tell me. I've been with the bank for 35ish years.
Euro Agrees to let RBS keep W&G, RBS has to divest Business and Pay £800m / £900m to other business banks. The question is which ones and what terms. There could be a good investment opportunity if you know where this money is going to end up.
Nothing I'm 64.8% up - I had a punt when they tanked, managed to get in the day and at the lowest price they were! so I'm happy - my plan is to sit tight for the long run.
since the consolidation of them I've now got 260 of them. only purchased what i didn't mind loosing, that and what i had in my funding account - as i was out the country at the time, and was having issues trying to add funds as on a non uk IP address ;-(
" FTSE FOR THE WEEK (FTSE:UKX) As usual, the Scottish summer highlights a need for a product which remains uninvented. A recent incident meant T&T's lawn was uncut for three weeks and, in the process, grew almost 20cm. While summer in July / ..."
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