There will be a white knight for Mps, that’s why
What will happen to Mps after the capital increase? And what effects will the latest moves by the ECB have on mortgages? Here are the answers of the general secretary of Fabi, Lando Maria Sileoni.
What will happen to Mps after the capital increase ? And what effects will the latest moves by the ECB have on mortgages?
These are some of the questions answered by the general secretary of Fabi, Lando Maria Sileoni.
Here are all the details.
DOSSIER MPS
“To resolve the issue of Monte dei Paschi di Siena, a white knight will most likely arrive, an important Italian banking group that will act as a pivot and then involve other banks in the country. I believe that an Italian bank will arrive that will take on the burden of rehabilitating and relaunching Montepaschi and at the same time acting as director for this rescue operation, a system operation ”. This was stated by the secretary general of Fabi, Lando Maria Sileoni, during the program Mattino Cinque broadcast on Canale 5.
“I don't know if there will be public aid – continued Sileoni -. However, the group that comes forward with the government will try to achieve something, even if it will be difficult. Since 2008, MPS has carried out six capital increases for a total of 25 billion euros, of which 18 billion covered by private individuals and about 7 billion from the public budget ”.
RATES DOSSIER
“The ECB has said that it will continue with the increase in the cost of money and the base rate could reach, according to our forecasts, 4% already in the first months of 2023, which means double the current level. There will therefore be negative consequences for families and businesses: higher installments for those who already have a variable rate loan, more expensive new mortgages, more difficult access to credit also due to the tightening of the Basel 3 rules which sees the Union opposing European Union, in favor of a softening, and the ECB, more rigid ”. This was stated by the secretary general of Fabi , Lando Maria Sileoni, during the program Mattino Cinque broadcast on Canale 5.
"Interest rates are increasing, but Italians, especially young people, must not give up their lifelong dream, buying a house, or postpone it, because buying a house is always an investment and asking for a mortgage, even if at a higher rate, it doesn't mean you are wrong. Today, interest rates have risen and the rate higher than what it would have been, for example, a year ago. In any case, there is always a future way out – when the rates will be lower – which is the subrogation, that is, the transfer of the loan agreement from one bank to another, at more advantageous conditions ", observed the secretary general of Fabi. .
“Those who today have a variable rate mortgage can consider switching to a fixed rate. But it must be assessed on a case-by-case basis. For example, for those who have already paid most of the interest, and therefore are closer to the end of the full repayment, it is not worth changing. On the other hand, if the loan was taken out recently, then switching to the fixed rate (subrogation with another bank or internal renegotiation) could bring an advantage. In general, turning to several banks, in competition with each other, is the fundamental rule and going to the branches helps to make informed choices ”added Sileoni.
This is a machine translation from Italian language of a post published on Start Magazine at the URL https://www.startmag.it/economia/ci-sara-un-cavaliere-bianco-per-mps-ecco-perche/ on Wed, 09 Nov 2022 11:44:24 +0000.