January 17th, 2013






  1. Jordan
    January 21st, 2013 at 21:19 | #1

    “however the impairment of bank balance sheets”

    But that impairement comes only from sharing in projected income and taking a payout at the front end of a loan term. Projected income is allready spent by banks before it is determend if it will reach maturity or not.
    Projected income is spent right away by banks without that income being aquierd which in credit default it will not be, hence balance sheed is impaired.

    Due to that fact, some of banks in east Europe do not count principal part in monthly payments untill projected income is achieved, then the principal is being paid off.
    I know, that is obvious robery in case of a prepayment, but when given such power to banks to decide on credit terms they will do it to protect their balance sheet.
    Former communist block is a neoliberal paradise so there is no wonder why it is failing the progress in economy and wellbeing. European perifery is the looting area for the core.

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