As we can all tell the world is in a huge financial black hole and this situation has been caused by the banks. Over the last five years banks were giving mortgages to families and individuals that just could not afford them and missing payments. This has all led to the banks crashing and businesses that relied on them failing as well.
I have always said that if you have not got the money to buy something, them simply do not buy it ans wait until you are in a better position? I mean lending huge amounts of money. So this is ultimatley why banks need to sit down and think about who they give their cash too.
I have noted down a few situations where the banks should not be giving money too.
1) People that are on low income, what the banks are forgetting, is that people do not just have their mortgage to pay. They have the huge daily living costs to consider. So someone that is earning 30k in my view should not be borrowing huge amounts for a home.
2) How long have they been in their work place? There are a lot of people that hate working and end up getting fired from every job. These lazy people then decide to get back into work after a year and as soon as they get their first wage packet they just go out and get a mortgage and expensive cars on finance. And to be honest noone really tells them any different, the banks seem to agree with them by handing over money.
3) One crucial aspect that banks should look at is the habits of an individual before they loan any money out. How many times have gambling addicts got given a mortgage and car and then blow there monthly repayments on playing online poker or roulette. Addicts can not control themselves, so lending them money is a very bad idea.