It's an ill wind...

The present credit crunch is having a most salutary effect, as far as I can see, on people's spending habits, and their saving habits too.
I had two people lined up to take up some property in Romania, and they both withdrew. I don't blame them. I probably would too if I hadn't been out there ( which neither of them have).
More interestingly, the drop in food sales hopefully presages a more commonsense approach to food ( don't throw so much away) and the news that Northern Rock has withdrawn some of its savings offers because they have been inundated with cash, says more about UK2008 than any survey.
I was in the Glasgow office of HSBC today. The reason I was there was because there have been lots of posters all around Glasgow, roughly saying that HSBC wants your business account - and is prepared to do quite a lot to get it.
The office was completely mobbed with people trying to fix up mortgages. They had extra staff on just screening out the no-hopers and handing out forms that needed completing before any interview could be granted.
Fortunately, I had an appointment with their business manager, who was not only affable, but also helpful.
I'm looking for development finance for the domain names business, with a view to developing a mega-site which will attract lots of people and earn lots of money. The problem is it will cost quite a lot to develop. I am a great advocate of Other People's Money making me rich and them a modest return.
Astonishingly, he was really enthusiastic as I showed him some of the things we do. It transpired that, as a Bank, they are largely funded by deposits and trading companies in the East ( Their real name of course is Hong Kong and Shanghai Bank Corporation and founded by a Scot) and are looking to spread their loans into different areas, not only of the globe, but of businesses). Their deposits have apparently rocketed in the past few weeks - so much so that they can't actually give a return on lots of them ( they won't lend huge chunks to other banks, so its down to getting lots of people like me on board. Mortgages? No problem - as long as you have 25% to put down ( as it always used to be. ) Oh, and no interest only - capital and interest only.
Sigh. How nice to talk to an old-fashioned banker.
Of course, their guiding light was a Scot, Willie Purves, who set in tablets of stone how HSBC would do business. No one has ever dared to question it - even though he retired 10 years ago.