17K Loan from LLoyds TSB "invested"?
At the moment, im wondering what to do? I recently borrowed the above sum from LLoyds TSB bank who i have a mortgage with in the uk. Its funds that I need to relocate my family back to the UK and to establish a new business and something I have been working towards for 7 years while I have been training overseas. I actually asked the bank if i could open an account with them after they loaned me the money, but they said that I couldnt as im not a uk resident. It left me wondering why they could lend me the money? I didnt ask this at the time, so i looked off shore as the bank im currently with didnt offer high interest rates. I had a serious chat with KE who were so nice and helpful that it seemed the right place to put it in a short term bond which would counter the interest im paying back in the UK...as it stands now, im paying around 90 GBP per month interst only. Have I inadvertanltly made an interbank loan? Im not a stock broker, just an ordinary bloke making a living and bettering my life for my family. The whole thing seems really criminal to me. I hope it gets sorted out and I especially hope that the people who have more money tied up than me get it back. My heart goes out to you all.
Thanks for putting up this site.
Not technically an interbank loan
Sadly, what you have is a debt on one side and an asset (maybe no longer) on the other side. Lloyds are unlikely to accept that you don't have to pay them back the money, just because you've lost or may lose it with Kaupthing. Well, that's my opinion, I'm no expert, sorry I can't offer you anything more hopeful. If the "compensation" deal is real, you should be able to get 17k returned to you (without interest, no doubt.)