If the depositors in the banks all demanded their money back, EVERY bank in the world would be insolvent.
Nearly every company/business that is trading has an overdraft or loan and they, and every person with a home loan has a perfecly reasonable expectation that their line of credit will remain, provided they maintain their repayments.
There has NEVER been any reason, by way of default or inabilty to make payments when due, to deny Centro ongoing credit.
The low doc loan fiasco has nothing to do with Centro, and the way Centro is currently being treated would be similar to if your neighbours defaulted on their home loan, so the bank called in your home loan as well.
Totally illogical, but thats whats happening right now until they sort it out.....and I believe they will.
Cheers,
Bendigo
CNP Price at posting:
0.0¢ Sentiment: Buy Disclosure: Held
