Well, here we are again.
This chap was given the run around by the FSA for they were concerned. Shame they were not so concerned when the Libor rigging was occurring, that they sat on knowingly, since 2008 by the major banks.
But, of course, anyone who comes up with a straightforward money loaning option to small businesses, is grilled within an of a week of running out of funds!
Although, the original principal of Peer to Peer Banks has been around for years in Germany. As was shown in the Channel Four Program.
You can catch up on the program here.
Not only were local small businesses being served by this resource. The local community that wishes to get some returns on their money were happy to deposit the funds, which were 100% insured. “Simple” as a certain Fury Animal says.
The rate was to be set at 5% AER per year for their hard earned money. The amounts could be from £500 to a maximum of £15,000.
FSA attitude distinctly sounded like they were hoping that “Dave” would give up. Fortunately “Dave” coming from up North, stuck his heels in.
Once, he had successfully embarrassed HM Gov into moving the FSA. Surprise surprise they accepted that what he had originally proposed was lawful after all.
FSA you should hang your heads in shame. When you do act, you get it completely wrong and when wrong does occur, you look the other way hoping that no one notices or blame another party.
As the FSA is funded by the major banks there seems to be a conflict of interests at the start. Keep going Dave, the cracks in the Dam have started to appear.
The best part of the funding scheme is that charities are donated any profits after the expenses have been taken.
The only bit of advice to “Dave” is to keep these to local charities, that you can see.
The “majors” are well funded and should take a back seat in this venture!
To show your support you will have turned up to the “Bank on Dave” Bank. However, you have to wait a bit, as they have a line of people waiting until 2014!
You can check the status here
Otherwise, you can read the book below to the whole process.
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Until the next time. Thanks for reading.