Whatmuff Posted December 13, 2016 Author Report Share Posted December 13, 2016 All this talk of the next big crash is really quite futile. We have all lived through, supposedly, the worst economic downturn for a generation. Has anything really changed? If interest rates go sky high who really loses? The banks because they will have millions of defaulted mortgages. Who run's our economy? The banks. Who creates money? The banks. They exist to make money, literally. They are not going to sit back and watch their balance sheets burn. All this doom and gloom over quantatative easing as if cash is some finite resource. They just make it and will continue to do so as needed. Our economy runs on debt. As long as people can service that debt then so be it. But surely we have got to a time where people will no longer service that debt? The government tried balancing the books, and that didn't work so we have gone back to borrowing, after every crash they lower the interest rates to encourage borrowing as it's cheaper and this stabilises the markets and promotes growth, but they can no longer do that. If interest rates rise and people/companies default then they loose their property which has now reduced in value. Let's face it a lot of investment and people's investments are in property these days and everyone expects property to hold value and increase over time. Property is fine if you own it but a lot of people (those that have bought in last 10 years) don't and have stretched themselves beyond belief and the banks and investment bankers own their mortgages. And as rates go up and cost of living goes up then affordability goes down. I just can't see any more increase in the property market as it would put owning a house out of reach even to the top earners! And don't get me started on the help to buy5% deposit ball **** idea the government came up with. That was another attempt to increase buying and push prices up, which it did. Quote Link to comment Share on other sites More sharing options...
Rupert Posted December 13, 2016 Report Share Posted December 13, 2016 saving is dead,long live the saver lol Quote Link to comment Share on other sites More sharing options...
Whatmuff Posted December 13, 2016 Author Report Share Posted December 13, 2016 saving is dead,long live the saver lol Hahaha too right! I've just seen an advert where the ladies boiler needs fixing and she has no money till payday, oh but don't worry because the payday loan will help out at 1289% APR.... holy jesus really? Are people that stupid? Quote Link to comment Share on other sites More sharing options...
Yellow Bear Posted December 13, 2016 Report Share Posted December 13, 2016 Hahaha too right! I've just seen an advert where the ladies boiler needs fixing and she has no money till payday, oh but don't worry because the payday loan will help out at 1289% APR.... holy jesus really? Are people that stupid? In a word --- Yes Quote Link to comment Share on other sites More sharing options...
Rupert Posted December 13, 2016 Report Share Posted December 13, 2016 Hahaha too right! I've just seen an advert where the ladies boiler needs fixing and she has no money till payday, oh but don't worry because the payday loan will help out at 1289% APR.... holy jesus really? Are people that stupid? i wanted to start a payday loan company but my missus, (carrer in finance,banking and lending) wouldnt allow it on principal Quote Link to comment Share on other sites More sharing options...
Whatmuff Posted December 13, 2016 Author Report Share Posted December 13, 2016 i wanted to start a payday loan company but my missus, (carrer in finance,banking and lending) wouldnt allow it on principal An awesome idea! Quote Link to comment Share on other sites More sharing options...
SpringDon Posted December 13, 2016 Report Share Posted December 13, 2016 Good shout, but where would they go this time as they have no movement on interest rates? Or could we possibly see negative rates to stabilise markets and lending! We already have negative interest rates effectively with 2% inflation and .25% interest. Can't see them doing much until growth returns. Or maybe a raid on savings and pension funds for the common good. Until then, the plates will be kept spinning by money printing. What next? Who knows, maybe it's the end game. Quote Link to comment Share on other sites More sharing options...
WildCamper1982 Posted December 13, 2016 Report Share Posted December 13, 2016 well that's my thinking too, the amount of money wasted these days on electrical items and expensive things that deflate in value, why not have a little money a month towards the gold/silver for the future as we just don't know whats on the horizon.That's it, most people including myself must waste lots of money on everyday things and most end up in the bin, it's nice to see your stack slowly grow into something substantial, I try and avoid single coins as the premiums are quite high and save up more for bars where you tend to get more for your money. Quote Link to comment Share on other sites More sharing options...
SpringDon Posted December 13, 2016 Report Share Posted December 13, 2016 All this talk of the next big crash is really quite futile. We have all lived through, supposedly, the worst economic downturn for a generation. Has anything really changed? If interest rates go sky high who really loses? The banks because they will have millions of defaulted mortgages. Who run's our economy? The banks. Who creates money? The banks. They exist to make money, literally. They are not going to sit back and watch their balance sheets burn. All this doom and gloom over quantatative easing as if cash is some finite resource. They just make it and will continue to do so as needed. Our economy runs on debt. As long as people can service that debt then so be it. Couldn't disagree more. Debt will only be serviced while the illusion persists that it can be paid back. There is more debt in existence than there is future capacity in the world to pay it off. Money printing is the equivalent of trying to stop falling over by running faster and faster. It can't end well and never has before. Quote Link to comment Share on other sites More sharing options...
digger Posted December 13, 2016 Report Share Posted December 13, 2016 I don't have the free capital to invest in precious metals. I do hoard my scrap until the price makes it worthwhile. I keep an eye on the market and weigh in when lead, brass and copper are at a good price. The market was dire a year ago, three years ago it was good, especially lead. I've a secure lock up where I can separate and store scrap, a tool for stripping wires and old postman's sacks for carting it to the scrappy in. One man's junk etc Quote Link to comment Share on other sites More sharing options...
Whatmuff Posted December 13, 2016 Author Report Share Posted December 13, 2016 That's it, most people including myself must waste lots of money on everyday things and most end up in the bin, it's nice to see your stack slowly grow into something substantial, I try and avoid single coins as the premiums are quite high and save up more for bars where you tend to get more for your money. Absolutely, and you can't immediately spend it which is nice. Been ordering from silver to go, as you don't pay VAT as that's covered in Germany, so you pay around 16 for an oz on certain coinsituations or roughly 560 for a kilo coin or bar which was much cheaper than the UK. Already made money by the time it arrives here. Quote Link to comment Share on other sites More sharing options...
WildCamper1982 Posted December 13, 2016 Report Share Posted December 13, 2016 Absolutely, and you can't immediately spend it which is nice. Been ordering from silver to go, as you don't pay VAT as that's covered in Germany, so you pay around 16 for an oz on certain coinsituations or roughly 560 for a kilo coin or bar which was much cheaper than the UK. Already made money by the time it arrives here.Ive seen there website and it looks good, especially on the kilo bars a lot of silver stackers on you tube use them, I've ordered Perth mint 10oz bars from oz which come at a premium including delivery and import tax for £170 so your right to shop about they can fetch £250+ over here, same as Scottsdale stackers 6 months ago they were £155 on eBay delivered now there £250+ all day long. You just have to be savvy and do your research. And to digger that's great if you can save your scrap and make a few quid, there's always money to be made if your willing to do it! Quote Link to comment Share on other sites More sharing options...
inthedark Posted December 13, 2016 Report Share Posted December 13, 2016 Just done a UK reality check on this, and as of today 1kg of 999 silver is £458.15 to buy from Hatton Garden Metals. Their buy back price is £361.70. I cant see that ever adding up to an investment Quote Link to comment Share on other sites More sharing options...
WildCamper1982 Posted December 13, 2016 Report Share Posted December 13, 2016 Just done a UK reality check on this, and as of today 1kg of 999 silver is £458.15 to buy from Hatton Garden Metals. Their buy back price is £361.70. I cant see that ever adding up to an investment Your kind of missing the point, PM's are not a get rich quick strategy, it's long term investment in the hope you will make a bit so that is like saying I'm going to buy at PS4 for £300 from cash converters and tell it them back for the same of course you are not there a business at the end of the day. Quote Link to comment Share on other sites More sharing options...
inthedark Posted December 13, 2016 Report Share Posted December 13, 2016 Still seems like a big drop, must the shameful amount of VAT Quote Link to comment Share on other sites More sharing options...
Billy. Posted December 14, 2016 Report Share Posted December 14, 2016 (edited) Just done a UK reality check on this, and as of today 1kg of 999 silver is £458.15 to buy from Hatton Garden Metals. Their buy back price is £361.70. I cant see that ever adding up to an investment If you traded it (by the KG), your spread right now is 428 - 430 All those people wanting to buy the physical commodity, saying "I don't trust the markets" For what you'd make in years worth of profit, you'd give away in commission to the buyer Edited December 14, 2016 by Billy. Quote Link to comment Share on other sites More sharing options...
Lloyd90 Posted December 14, 2016 Report Share Posted December 14, 2016 (edited) Whatmuff I've been working/on placement with a large council for 2 years now and have to dispute the fact that balancing the books hasn't worked and they are "going back to borrowing". We (and many other councils are in the same boat) have ridiculous amounts of money that need to be cut over the next 5 years. So far they have managed to cut £7M, it should have been £27M. On top of this the government has passed down they're going to get £60M less funding, so with rising costs etc we now need to cut £90M off the budget costs over the next few years. I certainly wouldn't call that "going back to borrowing" sorry. In social services at the moment services are crying out under the strain. That's with £7m of cuts across the council... we have £83m still to go ... Apparently if they don't get on top of it soon someone will be sent down from central government to decide where we can cut the rest! Edited December 14, 2016 by Lloyd90 Quote Link to comment Share on other sites More sharing options...
Mungler Posted December 14, 2016 Report Share Posted December 14, 2016 If you traded it (by the KG), your spread right now is 428 - 430 All those people wanting to buy the physical commodity, saying "I don't trust the markets" For what you'd make in years worth of profit, you'd give away in commission to the buyer There you go again with your logic. Quote Link to comment Share on other sites More sharing options...
Billy. Posted December 14, 2016 Report Share Posted December 14, 2016 There you go again with your logic. *eight pint logic. I feel pretty rough this morning. Quote Link to comment Share on other sites More sharing options...
Whatmuff Posted December 14, 2016 Author Report Share Posted December 14, 2016 Whatmuff I've been working/on placement with a large council for 2 years now and have to dispute the fact that balancing the books hasn't worked and they are "going back to borrowing". We (and many other councils are in the same boat) have ridiculous amounts of money that need to be cut over the next 5 years. So far they have managed to cut £7M, it should have been £27M. On top of this the government has passed down they're going to get £60M less funding, so with rising costs etc we now need to cut £90M off the budget costs over the next few years. I certainly wouldn't call that "going back to borrowing" sorry. In social services at the moment services are crying out under the strain. That's with £7m of cuts across the council... we have £83m still to go ... Apparently if they don't get on top of it soon someone will be sent down from central government to decide where we can cut the rest! Well that's the problem at the moment, every government department is overspending and has to cut back. I'm in the RAF and the spending in the military is outrageous and always cutting back, family work in the police and NHS and there required to cut back on a huge scale! But how with the population increasing and the overseas threat ever increasing and the pot of money reducing can we achieve this? Tough times. Quote Link to comment Share on other sites More sharing options...
old'un Posted December 14, 2016 Report Share Posted December 14, 2016 Absolutely, and you can't immediately spend it which is nice. Been ordering from silver to go, as you don't pay VAT as that's covered in Germany, so you pay around 16 for an oz on certain coinsituations or roughly 560 for a kilo coin or bar which was much cheaper than the UK. Already made money by the time it arrives here. A little bit confused by your statement "Already made money by the time it arrives here" so where do you sell it to make a profit on your 1kg @ £560 ? Quote Link to comment Share on other sites More sharing options...
Whatmuff Posted December 14, 2016 Author Report Share Posted December 14, 2016 Not that I'd sell it anyway, I suppose it's not a profit but the same 1kg coins are fetching 600 to 700 on eBay as the VAT and UK Mark up is added on. So it's not exactly a profit! Quote Link to comment Share on other sites More sharing options...
old'un Posted December 14, 2016 Report Share Posted December 14, 2016 Not that I'd sell it anyway, I suppose it's not a profit but the same 1kg coins are fetching 600 to 700 on eBay as the VAT and UK Mark up is added on. So it's not exactly a profit! Think you will have to wait a very long time before you see any real return on your investment, plus it is likely you will have to pay tax on any profit. Not something I would invest in, there are better investments out there if you look. Quote Link to comment Share on other sites More sharing options...
Whatmuff Posted December 14, 2016 Author Report Share Posted December 14, 2016 It's definitely a long term investment but having seen highs of nearly 50$ an ounce compare to 18$ at the moment, worth a try. Plus beat spending it on drink this Christmas! Quote Link to comment Share on other sites More sharing options...
AVB Posted December 14, 2016 Report Share Posted December 14, 2016 Personally if I wanted to invest in precious metals I would invest in a gold fund. Preferably one that covers physical assets plus mining stocks. Some have faired well over the past year but over the past 5 years have had a shocker. Quote Link to comment Share on other sites More sharing options...
Recommended Posts
Join the conversation
You can post now and register later. If you have an account, sign in now to post with your account.
Note: Your post will require moderator approval before it will be visible.