Thursday, 1 May 2008

Poor 'ole Westpac (and other banks)

I’m spending way too much time reading the online newspapers, so much so that I’m just getting confused. For example a few days back I thought I read an article about the poor old Westpac bank having to raise it interest rates on home loans to help pay for their bad investments choices, like they also did a few months previously. Yes like most banks they feel they needed to charge the poorer people trying to pay off their home loans with higher interest rates and charges because they made bad investment choices, mmmm does that mean us with home loans also made bad investment choices by taking out home loans in the first place. Anyhow by an article in today’s paper I assume that raising the interest rates has not only saved the poor old Westpac bank from the poor farm but paved their driveway with gold and many other precious gems by increasing their profit forecast by 10% to A$1.83 BILLION, I guess they have one hell of a great farm as their profits make some small nations GDP look like chump change. Well I’m glad the poorer home loans holders (i.e. those with a negative yearly profit forecast) have been able to help out the Banks in this their hour of need. God bless Capitalism! Don’t worry home loan holder, Westpac are also looking to shift 3000 odd jobs from Australians to cheaper overseas labour locations in India and China, thus saving a whole bunch of dosh so they’ll be able to reduce our home loans interest rates. This little cat not going to hold his breath waiting for them to drop the interest rates, this little cat thinks it’s more likely they’ll announce further increases in their profit forecast, maybe they would like to round it off to a nice even A$2 billion next time.

Good night, sweet dreams and thank you for reading my 2 cents worth, or was that A$1.83 billions worth!

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