GLOBAL ECONOMIC MELTDOWN: Precursors To A Global Financial Collapse - EU On The Brink Of "TERRIFYING CRISIS" As Five Of Europe's Biggest Banks Are In Danger, Warns Expert!

Are Europe's banks heading into meltdown?

February 4, 2016 - EUROPE - Some of Europe’s biggest banks are on the brink for a crisis that echoes the 2008 meltdown, a finance expert warned today, as fears over the global economy escalate.

Deutsche Bank, Credit Suisse, Santander, Barclays and RBS are among the stocks that are falling sharply sending shockwaves through the financial world, according to former hedge fund manager and ex Goldman Sachs employee Raoul Pal.

At the height of the financial disaster in 2008, the Government was forced to step in and rescue Lloyds Banks and RBS from liquidation, while the European Central Bank gave huge bailouts to Spain, Greece, Portugal and Italy.

Last month, the head of the European Central Bank Mario Draghi raised expectations that it could undergo yet more Quantitative Easing in March – in effect printing billions of pounds worth of money – in the face of ongoing economic fears.

France last month declared a state of economic crisis adding to worries about the stability of the euro-zone.

Regulations now require banks in Europe to hold more cash as a buffer against market shocks, but Mr Pal said balance sheets haven’t been cleaned up and warned negative interest rates are hitting the firms hard.

The pundit’s comments come as a number of bank shares plunged to their lowest levels for years.

The Chancellor George Osborne has even been forced to push back Lloyds Bank’s retail share sale after stock value plunged too far.

Mr Ral told CNBC news: “I look at the big long-term share charts of them, and I think this looks very terrifying indeed. I have not seen anything like this for a long time.

“Negative rates are something the banks can banks cannot deal with and that’s being priced into share prices quickly.”

Fears over low oil prices and China’s slowing economy, tumbling stock values at the start of the year were largely driven by investors selling off oil and mining companies.

But now panic has spread into other sectors.

And Mr Pal said banking issues could be an even bigger worry than China’s growth slowdown and cheap oil. - Express.

GLOBAL ECONOMIC MELTDOWN: Precursors To A Global Financial Collapse - HUNDREDS Of High Street Banks To Close Down In Towns Across Britain As Banks Abandon Their Promise To Stay Open; ALMOST 900 Branches Are Now At Risk Of Closure!

Closures: Barclays has outlined plans to close 90 branches across the UK by the end of the year

February 15, 2015 - BRITAIN - More than 500 bank branches are expected to disappear from Britain's High Street's this year forcing residents of many communities to travel miles to their nearest bank.

All the major lenders have ditched a commitment to keep open 'the last bank in town', putting almost 900 branches in smaller towns and villages at risk of closure.

Last night one MP described this as a 'bitter blow' for households' for many communities, with campaigners warning that the elderly and small businesses will be hardest hit.

Efforts by business secretary Vince Cable to force to banks resurrect this commitment have been rejected by the lenders, which claim that many branches are not busy enough to keep open as more customers switch online.

Instead Mr Cable has been trying to reach a compromise with lenders, including strict protocols for banks wanting to close a branch – including the requirement to ensure there are alternatives nearby.

Proposals, contained in a seven page document leaked at the weekend, include the requirement for banks to give customers three months' notice if they local branch is set to be closed.

But it states that 'decisions on branch closures are ultimately commercial decisions'.

Experts have warned the loss of the last bank in town pledge - which was introduced in 2008 – puts 878 branches around the country at risk.

In total more than 500 branches are expected to be shut during the course of the year. This would break the record of 479 set last year, which compared to just 195 in 2013.

Leaving town: NatWest has already shut or are about to shut 33 bank branches this year

Derek French from the Campaign for Community Banking said efforts by the coalition to beef up protection for customers 'have achieved very little'.

He said: 'It looks pretty bleak. The closure of branches across the country creates serious inconvenience for those who can least cope, such as elderly customers and hard pressed small businesses who rely heavily on their local bank'.

He added: 'This will also have a knock-on effect on local businesses on the High Street, who will also have less customers'.

Latest figures show that the 142 branches have either been closed by the major banks or are scheduled to do so by the end of March. Of these 52 are the last branch in town.

NatWest - part of state backed Royal Bank of Scotland - has been the biggest culprit, shutting 33 of these, with Barclays closing 15.

Barclays has also outlined plans to close another 90 branches by the end of the year.

Some 8,000 residents of Keynworth in Nottinghamshire will be left without a bank when NatWest closes its branch next month.

St Agnes in Cornwall will lose its last branch when Barclays pulls down the shutters for the last time on Friday.

Chris Leslie, shadow chief secretary to the Treasury said: 'Many neighbourhoods will have already lost pubs and Post Offices.

Sometimes their bank can be the last remaining lifeline to access savings and pay bills– particularly for those who don't want to do business over the internet.'

Shutting shop: In total more than 500 branches are expected to be shut during the course of the year

He added: 'The banks already have responsibility for harming lots of public services which have had their budgets cut because of the financial crash. For them to now be responsible for the death of the High Street would be another bitter blow.'

The bosses of all the major banks have justified the closure of branches by stressing the soaring popularity of digital banking – both online and on smart phones.

They have also argued it is not viable to keep certain branches open because so few customers use them.

RBS boss Ross McEwan last year described its busiest branch as the 7:01 from Reading to Paddington, with over 167,000 customers using its mobile banking app between 7am and 8am on their commute to work every day.

The issue rose up the political agenda last October when Lloyds became the last High Street lender to ditch a promise not to close a branch if it was the last branch in town.

It also announced plans to shut around 200 outlets over the next three years and open 50.

This prompted Mr Cable to write to bank bosses urging them to reinstate this commitment.

As part of the compromise agreement, banks are expected to offer more of their services – particularly for small business customers – via the Post Office's network of 11,500 branches.

A spokesman for the British Bankers' Association said: 'Closing a branch is not a decision that is taken lightly. The protocol that we are developing with the support of Government, consumer and business groups will ensure that provisions are put in place so that customers are still able to access banking services in their local area even if their nearest branch is closed.' - Daily Mail.