Pyramid Comment

This journal takes an alternative view on current affairs and other subjects. The approach is likely to be contentious and is arguably speculative. The content of any article is also a reminder of the status of those affairs at that date. All comments have been disabled. Any and all unsolicited or unauthorised links are absolutely disavowed.

Friday, November 17, 2006

Property: Prices And Mortgage Term Both On The Up

Original posting, July 2006

If property prices continue to escalate, the mortgage term will inevitably increase. It must. This will make repayments manageable, but increase interest revenue skywards. A major principle of lending. If a loan is never paid then the interest is never paid and continues forever. The interest only mortgage. The original capital is never repaid, at least does not get started for years. Perfect.

The Building Societies and Banks can never lose

Money has never actually existed. It's just a concept: "the promise to pay" ethos. A continuous theoretical interest is applied, but still there is no real money. What is money? Just another illusion. Bank loans are electronic and instantly the amount "borrowed" is increased.


The "loan' is itself based on virtual money.

Bretton Woods system


  • why is a cashless society so important? Eventually, there will be no 'cash'. Everybody will be expected to pay by electronic transfer (to the banks' advantage - DA). The more that 'cash' is removed from society, the greater the chances of never revealing that there is just virtual money: there never was anything real. It provides a reason why Gordon Brown could sell (get rid of? - DA) much of the UK's gold reserve (if there actually ever was any). There was no point in keeping it when some 'money' was desperately needed to paper over the cracks. (Cracks? More like deep valleys - DA.) 'Cash' has only an intrinsic 'value'. It's essentially worthless. Hard money is only base metal.
  • why are coins constantly changed? Every few months there is a differently designed coin introduced into the system. A 'visitor' to the UK can only be confused by the 'funny money'. Detection of fakes by the general public becomes increasingly impossible. (It's difficult enough for a born and bred UK resident to 'figure' it all out. Simply assume it's all fake? - DA). The 'New' in 'New Fifty Pence' has been a defunct term since 1982. Confusion encourages a lack of attention and ultimately disinterest and nobody will notice the 'trick'.
  • UK 'currency' has been an international joke for a long, long time.
  • The number of fake £1 coins in the system is enormous. The alleged £30 million worth of fakes can only be assumed to be reasonably accurate. And how can such a figure ever be assessed without additional information? (The concept is, of course, a joke. It's possibly many, many times more than this amount and government would have a motive for introducing it all with an absolute denial if ever challenged - DA).