Halifax offers up to 12% on Regular Saver
by Gill Montia
Story link: Halifax offers up to 12% on Regular Saver
Halifax is today launching a savings account that pays interest at up to 12%.
The credit crisis has prompted banks and building societies to increase savings rates, as a shortage of cash on the money markets has forced them to become more reliant on consumer deposits.
However, Halifax is well ahead of the field with its latest [...]
HBOS offers “cashless take-up” of rights issue
by Gill Montia
Story link: HBOS offers “cashless take-up” of rights issue
HBOS is trying to woo its small shareholders over its £4 billion rights issue.
The group, which owns Halifax and Bank of Scotland, has a large number of small private investors because it was formed from the demutualisation of Halifax Building Society a decade ago; around 800,000 hold 200 shares or less.
In a move aimed [...]
HBOS sells mortgage backed bonds
by Gill Montia
Story link: HBOS sells mortgage backed bonds
HBOS could be leading the way out of the credit crisis. The bank, which is the owner of Halifax, and is the UK’s largest mortgage lender, has sold mortgage backed bonds worth £500 million.
The deal has become headline news because it is the first sale of its kind by a UK bank since the US [...]
HBOS outlines £4bn rights issue
by Gill Montia
Story link: HBOS outlines £4bn rights issue
HBOS has unveiled its plans for a £4 billion rights issue.
The group, which owns Bank of Scotland and Halifax, wrote down £2.8 billion in connection with the credit crisis in the first quarter of 2008 (compared with £736 million for the whole of 2007) as a result of a fall in the value of its [...]
HBOS set to raise £4bn in rights issue
by Gill Montia
Story link: HBOS set to raise £4bn in rights issue
HBOS is reported to be planning a £4 billion rights issue, the details of which are likely to be announced to its 2.1 million shareholders this week.
The group’s Halifax business is the UK’s largest mortgage lender and the bank is known to have concerns about the downturn in the housing market.
This week, housing intelligence firm [...]
Bradford & Bingley rumours wipe £2.5bn off UK bank shares
by Gill Montia
Story link: Bradford & Bingley rumours wipe £2.5bn off UK bank shares
Bradford & Bingley (B&B), the buy-to-let lender, has denied rumours that it is in financial difficulties.
Over the weekend, reports in the press suggested that the lender would be forced into an emergency rights issue to shore up its capital base.
According to B&B’s finance director, the bank raised £2.5 billion in the wholesale market last autumn [...]
HBOS shares soar by 15%
by Richard Kilner
Story link: HBOS shares soar by 15%
After taking a battering in recent days, HBOS enjoyed a surge in its share value which soared by 15% over the course of a single day.
The multi-billion pound additional value is due to the £6m of shares purchased by senior executives at the bank, led by Andy Hornby, to reinvigorate confidence in the firm.
The move [...]
FSA warns on market rumours as HBOS shares plunge
by Gill Montia
Story link: FSA warns on market rumours as HBOS shares plunge
Rumours that HBOS has liquidity problems has led to an investigation by the Financial Services Authority (FSA), which will be looking at the possibility of market abuse, after the bank’s shares fell heavily today.
It is possible that the speculation, which included suggestions that the Bank of England is arranging an emergency meeting with HBOS, emanated [...]
HBOS raises £750m in new capital
by Gill Montia
Story link: HBOS raises £750m in new capital
HBOS has made it clear that it thinks the credit squeeze if far from over by raising £750 million in new capital.
The bank acted quickly last week, when the US Federal Reserve and other central banks announced plans to inject further cash into the money markets, to stem the deterioration in the availability of credit.
Andy [...]
HBOS puts profitability above market share
by Gill Montia
Story link: HBOS puts profitability above market share
HBOS has posted a 3% rise in underlying pre-tax profits, to £5.71 billion, for 2007.
However, the result is below market expectations of £5.76 billion and was accompanied by a warning of continued uncertainty in the financial markets.
New mortgage business increased 22% in the second-half of last year but the bank says it will be putting [...]
HBOS supports financial management project
by Gill Montia
Story link: HBOS supports financial management project
HBOS’s charitable foundation is funding a £300,000 three-year project to help young people manage their finances and avoid getting into serious debt.
The Citizens’ Advice Bureau (CAB) and YouthNet will use the grant to target young people aged 16 to 25 via web content, podcasts and mobile phones.
The charities hope to reach a million young people [...]
HBOS on course for £5.8 billion profit
by Gill Montia
Story link: HBOS on course for £5.8 billion profit
In a trading update, HBOS, the UK’s fourth largest bank, has reported that it is writing down just £180 million in connection with the credit squeeze.
The bank’s chief executive, Andy Hornby, confirmed that profits and costs for 2007 will be in line with market expectations and that the bank’s full-year profit forecast of around £5.8 [...]
Halifax launches Classic Visa as “non-standard” consumers increase
by Gill Montia
Story link: Halifax launches Classic Visa as “non-standard” consumers increase
Credit card customers with poor credit histories are likely to be facing punitive interest rates in the future.
Halifax has recently launched its Classic Visa credit card charging an APR of 27.9%.
It is aimed at consumers with a low credit score and this includes people who are too young to have accrued a credit history, those [...]
Banks face heavy loans to affiliate companies
by Gill Montia
Story link: Banks face heavy loans to affiliate companies
The difficulties in the US sub-prime mortgage market has left UK High Street banks with the prospect of having to use substantial funds to support affiliate companies involved in high risk investment.
The crisis has caused a shortage of money in the debt markets and a sharp increase in interest rates.
As a result, HBOS has already [...]
HBOS reluctant to help Sams borrowers
by Gill Montia
Story link: HBOS reluctant to help Sams borrowers
HBOS, the group that comprises Halifax and Bank of Scotland, is still resisting any kind of action to compensate elderly borrowers who took our shared appreciation mortgages (Sams) during 1997 and 1998.
Sams were sold as interest free loans that were repaid using any future increase in the value of the borrowers’ homes. The typical proportion [...]
HBOS recovers from mortgage blunder
by Gill Montia
Story link: HBOS recovers from mortgage blunder
HBOS, which own Halifax, has apologised to shareholders for introducing a new mortgage pricing policy that adversely affected it main mortgage market in the first-half of 2007.
The bank was attempting to increase its mortgage margins but in fact succeeded in reducing its share of the mortgage market from 17% to just 8%, in a matter [...]
Repaid charges could cost HBOS £50m
by Gill Montia
Story link: Repaid charges could cost HBOS £50m
Credit Suisse has published a study in which it estimates that UK banks paid out £200m in the first-half of 2007, to customers reclaiming unfair bank charges.
Account holders have been successful in reclaiming thousands of pounds in penalty charges that have been deemed unfair under consumer contract law because they do not reflect the costs [...]
Halifax hire Experian to trace dormant account holders
by Gill Montia
Story link: Halifax hire Experian to trace dormant account holders
Halifax will be the first UK bank to make use of Experian’s new Unclaimed Assets Register, which can help to locate the holders of dormant accounts.
Earlier this year members of the HBOS group including Halifax, Bank of Scotland and Birmingham Midshires, announced that they would be making renewed efforts to trace customers with accounts they [...]
Halifax Tempts Current Account Switchers
by Gill Montia
Story link: Halifax Tempts Current Account Switchers
Halifax is promoting its current account by offering a £100 bonus to new customers prepared to switch their main current account to any Halifax mainstream account. Such accounts include a high interest current account that pays an impressive 6% on credit balances, and the Halifax Moneyback current account, which charges interest of 6.9% on authorised [...]
