Author Topic: Hi-interest time deposits in Legacy Financial Group's rural banks (Part 10) (Read 23119 times)

ric_TNT · « **Reply #271 on:** Dec 09, 2008, 01:22 AM »

Concept of Operations is using OPM (Other Peoples' Money) with promising high yield interests.

This is what it is all about plus administrative and operational costs. If they fail to at least break-even, you should know what I mean.

And with the current global financial turmoil it is too risky . . . tsk tsk tsk!

Anyway, I hope everyone for the better.

CrisisCore · « **Reply #272 on:** Dec 09, 2008, 02:41 AM »

LAV · « **Reply #273 on:** Dec 09, 2008, 02:53 AM »

A panic is actually what LFG banks want to happen, pre-termination means, deduction of all interest and charges that would be returned to the depositors/investors of rural bank at this "panic stage".

A "panic" that cause the closure of LFG banks will put all blames to BSP!

BSP will be our new antagonist, bad guy, fall guy!

A closure due to the action of BSP will force them to extend loans to LFG.

NOW...

If LFG gets the fund, at low interest rate, those who panic now will be paid back, less interest. LFG gets to refinance high cost debt to the new low cost debt from our government and still gets to keep all the money.

If LFG doesnt get the fund, BSP will be blamed for creating a "panic" causing bank run, that eventually forced the bank to fail, which is quite logical! No Panic, means No Bank run, means no change in operation, and no closed bank.

I really pitty the enemies of CDLS, this guy is really smart, but not that smart to be invincible, yet he always ends up winning the game.

If I were a betting man, I would still say, LFG will be bailed out thru cheaper refinancing, and alot of depositors will preterminate their deposits, leaving LFG bank with prime borrowing rate to do business, while removing all expensive CTDs in their portfolio.

This way, everybody happy, people get back their money, even if this means no interest earned, PDIC does not need to pay depositors back, BSP become the biggest bond holder of LFG Holdings giving them priority in all assets of LFG incase the LFG closes down again, and LFG continues doing business, maybe not the same outstanding growth like the years before, but at cheaper "cost for money" and starting a new business with Billion peso worth of capital.

AbysmalSpecter · « **Reply #274 on:** Dec 09, 2008, 03:11 AM »

Question, guys.

I have 2 accounts in RBOP, one is under my name while the other is ITF my nephew. The total of the two accounts is more than Php 250k. Are the two accounts separately insured? Or is the total amount insured just the Php 250k for the two account?

Thanks to whoever can give light on this.

barister98 · « **Reply #275 on:** Dec 09, 2008, 04:12 AM »

Its 4:30 am. Will RBoP open today? well lets see. Im waiting whether newspapers (particularly PDI) will carry a story on the "financial meltdown" of the biggest rural bank in the Philippines.

levi_pinoy · « **Reply #276 on:** Dec 09, 2008, 07:22 AM »

heto yung text nung Legacy agent sa kapatid ko:

Just now, an emergency mtg s scheduled by our Chairman 1st hour today.
After my probing of d nature, I learned dat an extensive untimely w/drawals
occurred d last wk n our Laguna & Cebu banks due 2 bad publicity again n
Inquirer by Daxim Lucas lst Tuesday.. All our banks has enough liquidity 4
regular maturing deposits & interest due but any banks wud give n f massive
w/drawals wud arise. I'll inform u 4 further developments but n any case
pls ready ur Cert of D.

wrexckz · « **Reply #277 on:** Dec 09, 2008, 08:09 AM »

Quote from: AbysmalSpecter on Dec 09, 2008, 03:11 AM

Question, guys.

I have 2 accounts in RBOP, one is under my name while the other is ITF my nephew. The total of the two accounts is more than Php 250k. Are the two accounts separately insured? Or is the total amount insured just the Php 250k for the two account?

Thanks to whoever can give light on this.

both 2 accounts are separately insured by 250k.

AbysmalSpecter · « **Reply #278 on:** Dec 09, 2008, 08:22 AM »

Thanks.

egan · « **Reply #279 on:** Dec 09, 2008, 08:35 AM »

Sori po Mr. Rich, medyo carried away lang ako ng kaba, pro andyan ka pa naman, me positive thinking, wag tayong mawalan ng loob. Pray na lang tayo that things will not really go wrong. Thank you Mr. Rich. . . .