Discussion in 'Agricultural Matters' started by reverand, Mar 16, 2019.

  1. db9go

    db9go Member

    We are with Handlesbanken and the same as JJT says it is 100% our experience as banking should be and was years ago
  2. Courier

    Courier Member

    HSBC - Wouldn't spit on them if the head office was on fire.

    We used to have our farm business account with them (Never had a LTV at more than 30%).

    We got planning permission, DNO connection and finance in place for 2 x 250 kWh 71 metre high wind turbines in spring 2012 all we needed from HSBC was for them to release less than 1% of their whole farm charge but they wouldn't even acknowledge the Certified of Planning Permission.

    Long story but we eventually got an offer from Lloyds and we commissioned 1st turbine in Dec 2014 after the FIT reduced by 10% every 6 months from 2012 so the viability was becoming near borderline.

    HSBC effectively reduced our project from £6m output with building costs of £1.5m down to £2m with building costs of £0.9m. ( Disregarding running costs)
    Last edited: Mar 17, 2019
    Dyffryn likes this.
  3. Cowcorn

    Cowcorn Member

    East meath/dublin
    Not a big enough borrower ???? No problem fixing that look for a million and dont bother paying it back!!! Id say you would be a big enough then all right.
    After the crash in2008 a local farmer killed himself due to pressure from banks over investments that were now worthless . At the graveside a builder turned to me and said " shure he only owed a couple of million so he thought he had problems if he was like me anf owed 50 million then I the bank had the problem not him "
  4. som farmer

    som farmer Member

    Lloyds now a call centre up north, if you want serious chat you have to set up a conference call, call centre is rubbish, can't do anything other than simple things with them
    looked at handlesbank, not interested in my business banking, but we have a big purchase coming up..... they would really like to quote for that!!!!!!!seemed upset when I said the 2 go together.
    friend changed from Lloyds, fed up with call centre, and ended up with his old Lloyds manager ! she'd got fed up as well !!!!
  5. Courier

    Courier Member

    Had our annual visit from our Lloyd’s manager just last week
  6. betternextyear

    I tried to move to Handelsbanken, nice people, but I didnt borrow enough for them to be interested. Shame really because TSB are not any good for business banking.
  7. MX7

    MX7 Member

    I deliver logs to a Handelsbanken branch manager. I will email him about TFF and this “Handelsbanken”thread and ask if he or the Public Relations department could reply to some of your questions/posts.

    We also have a farming friend who banks with them.
    Last edited: Mar 17, 2019
  8. Clive

    Clive Staff Member

    Banks need depositors as much as they need borrowers ............ or they have nothing to lend !
    holwellcourtfarm and MX7 like this.
  9. renewablejohn

    renewablejohn Member

    Thats not how modern banking works. Its the extortionate loans that finance further extortionate loans. The banks then lay the extortionate loans off to other banks with lower interest rate. There glorified book makers nowadays. If banks wanted depositors they would pay a realistic rate of return but those days have long gone.
  10. Clive

    Clive Staff Member

    Ultimately liquidity has to come from somewhere

    I think post 2008 there are rather strict rules on that ?
    Doing it for the kids likes this.
  11. Banks are now forced to carry larger reserves and are much more strict about what constitutes affordability, I presume they must have some kind of internal testing process to demonstrate that a client can meet that requirement.

    Ultimately I do not understand why banks could be so reluctant to lend farmers money; after all, farmers usually have very significant tangible assets relative to their borrowings and are generally a sound bet. This is in contrast to a lot of companies who might have a yard or office building. I guess they just do not understand agriculture.
  12. reverand

    reverand Member

    East lancs hills
    The same manager I mentioned before said if you can afford to farm you can afford not to farm. Eluding to the large sums needed to get a relatively small return.
    It’s this call centre mentality that bugs me the most. Most things can be solved over the phone or internet, but sometimes you like to have face to face, especially if you are struggling to understand a specific.
    They have shut that many small branches that the main branches can’t cope with the footfall
    icanshootwell likes this.
  13. upnortheast

    upnortheast Member

    Been with Natwest for years. All comes down to the Ag manager. Out of about 10 over 25 years only 1 was so keen on talking he never got anything done Rest have been spot on. So we rate them so long as you don`t need access to a local branch
  14. Clive

    Clive Staff Member

    I think they do understand agriculture and are very keen to lend to it

    As you say though they can only do so responsibly and confident that borrowers can service / repay - they dare not do otherwise in these modern “ppi” times

    If a bank won’t lend you money there is Bloody good reason in my opinion and they are only probabaly saving you from yourself !
    S J H, MX7, britt and 2 others like this.
  15. I think of lot of this depends on the name on the business card, not the logo.

    That said all banks have systems, some seem to go out of their way to make it arduous to do anything easily
    reverand and ollie989898 like this.
  16. Lazy Sod

    Lazy Sod Member

    I was going to ask on here if they had branches, as I've never seen one. Then I looked at their website and can see that they have over 200. Obviously I don't get out enough.
    reverand likes this.
  17. renewablejohn

    renewablejohn Member

    Only thing post 2008 did for banks was to increase the actual base asset level required for the size of loan book which as I said was easily circumvented by the banks by making them into bookmakers. As the loan book increases you just lay the loans off to other banks keeping the bank within the increased asset level rules. Simples.
  18. JJT

    JJT Member

    The branches aren't usually (of any) on the high street. Usually on an industrial/business estate, where you can actually park!
    Grassman, Courier and reverand like this.
  19. Andy54

    Andy54 Member

    Spoke to Handelsbanken about 3 years ago and again like others we weren't wanting to borrow enough, but credit where its due actually got to speak to a manager and he was open and upfront about everything and said if things change give us a ring. Nothing ventured nothing gained, so you might as well get in touch and see what they say.
    jackrussell101 and reverand like this.
  20. oldoaktree

    oldoaktree Member

    County Durham
    Just out of interest The one in Durham is in town on the street with estate agents, solicitors , accounts etc .its an expensive street to buy or rent in .
    JJT likes this.

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