Negative Interest Rates Proposed by Bank of England !!

Originally posted by hotel1
And will the thrifty who work hard and save money with the banks for their futures have this passed onto them by the banks, effectively being charged for being a saver. If that happens you might as well withdraw your money and spend frivolously.
Seemingly far-fetched I know but if this idea is pursued to its logical conclusion why not.

That might actually be a deliberate component.

No interest paid to you..you take your money and either spend it or invest in corporations..economy grows, but your savings are gone or tied up making corporations more affluent,

What's to stop banks from not storing their money with the BOE, or making loans to businesses but indulging in rash and risky investments to get the chargable cash off their books?

Isn't dodgy investing at the root of all of this in the first place?