As it is obviously clear, we know that we are in the middle of a huge financial crisis and the main culprit for this is the banks. Over the last decade banks have been giving ridiculous amounts of money away to people that cannot afford to pay it back. This has all led to the demise of the banks and businesses that were relying on them failing too.
I have always said that if you have not got the money to buy something, them simply do not buy it ans wait until you are in a better position? I mean lending huge amounts of money. So this is ultimatley why banks need to sit down and think about who they give their cash too.
I have noted down a few situations where the banks should not be giving money too.
1) People that are on low income, what the banks are forgetting, is that people do not just have their mortgage to pay. They have travel costs, food costs, bills and much more that have to be taken into account. So even a person that is earning around 25k, should not be borrowing huge amounts of money.
2) How long have they been in their work place? There are a huge amount of people in the world that just hate working and end up getting sacked from every job they get. These people then find a job after a year or so of being unemployed and think that it is ok to go and get a car on finance, get a mortgage and sign up to things such as mobile contract. And to be honest no one tells them different, the bank just hands it over and the tax payer's end up suffering in the long run.
3) A very important aspect that the banks should look at is the lifestyle of every individual. How many times have gambling addicts got given a mortgage and car and then blow there monthly repayments on playing online poker or roulette. Addicts just will not stop so lending them money would be a huge no no.