Royal Bank of Scotland Libor Rate Rigging Patent Trade Secret lest BRICS colon scam may bankrupt them - House of Cards to Collapse in Silence?
Article by Mark Scott here:
http://dealbook.nytimes.com/2013/04/11/senior-r-b-s-executive-in-japan-expected-to-resign-after-libor-scandal/
Latest
|
Yesterday
|
Week Ago
|
|
Federal Funds Rate
|
0.15%
|
0.15%
|
0.16%
|
Discount Rate
|
0.75%
|
0.75%
|
0.75%
|
Overnight Libor (1 day delay)
|
0.16%
|
0.16%
|
0.15%
|
Freddie Mac 30/60
|
0.00%
|
3.00%
|
2.85%
|
Fannie Mae 30/60
|
3.04%
|
3.08%
|
3.16%
|
6 Month Libor (1 day delay)
|
0.44%
|
0.44%
|
0.44%
|
10 Year Treasury Security
|
1.84%
|
1.78%
|
1.86%
|
The Prime Rate
|
3.25%
|
3.25%
|
3.25%
|
RATES AS OF 4/15/2013
1
Year LIBOR
|
|||||||||||
Month
|
2003
|
2004
|
2005
|
2006
|
2007
|
2008
|
2009
|
2010
|
2011
|
2012
|
2013
|
Jan
|
1.477%
|
1.4607%
|
3.2710%
|
4.9412%
|
5.4414%
|
4.22375%
|
2.00375%
|
0.98438%
|
0.78094%
|
1.12805%
|
0.84350%
|
Feb
|
1.368%
|
1.3645%
|
3.5114%
|
5.1526%
|
5.3328%
|
2.84938%
|
1.97500%
|
0.84625%
|
0.78125%
|
1.09570%
|
0.78100%
|
Mar
|
1.340%
|
1.3401%
|
3.8420%
|
5.2476%
|
5.2009%
|
2.70875%
|
2.11938%
|
0.83938%
|
0.79025%
|
1.05980%
|
0.75150%
|
Apr
|
1.362%
|
1.8082%
|
3.7101%
|
5.4217%
|
5.2967%
|
2.48625%
|
1.97188%
|
0.92000%
|
0.78250%
|
1.04850%
|
0.73150%
|
May
|
1.2214%
|
2.0764%
|
3.7789%
|
5.4139%
|
5.3885%
|
3.07875%
|
1.87688%
|
1.01563%
|
0.76100%
|
1.04720%
|
|
Jun
|
1.2014%
|
2.4682%
|
3.8632%
|
5.7660%
|
5.4048%
|
3.16375%
|
1.60000%
|
1.20406%
|
0.72950%
|
1.06920%
|
|
Jul
|
1.2789%
|
2.4632%
|
4.1745%
|
5.5910%
|
5.42563%
|
3.31063%
|
1.60625%
|
1.17313%
|
0.73350%
|
1.06800%
|
|
Aug
|
1.4714%
|
2.3001%
|
4.3123%
|
5.4501%
|
5.24500%
|
3.25250%
|
1.49750%
|
1.03669%
|
0.76025%
|
1.05350%
|
|
Sep
|
1.2857%
|
2.4445%
|
4.4067%
|
5.2985%
|
5.27500%
|
3.20688%
|
1.33000%
|
0.84306%
|
0.80000%
|
1.03200%
|
|
Oct
|
1.4551%
|
2.5289%
|
4.6765%
|
5.3348%
|
4.90125%
|
3.96250%
|
1.26375%
|
0.77775%
|
0.86489%
|
0.97300%
|
|
Nov
|
1.4867%
|
2.9607%
|
4.7379%
|
5.2439%
|
4.63750%
|
3.17375%
|
1.19938%
|
0.76219%
|
0.93561%
|
0.87550%
|
|
Dec
|
1.4582%
|
3.1004%
|
4.8226%
|
5.3139%
|
4.45750%
|
2.76625%
|
1.01750%
|
0.78656%
|
1.07106%
|
0.86000%
|
|
|
2010
|
2011
|
2012
|
2013
|
|
0.98438%
|
0.78094%
|
1.12805%
|
0.84350%
|
|
0.84625%
|
0.78125%
|
1.09570%
|
0.78100%
|
|
0.83938%
|
0.79025%
|
1.05980%
|
0.75150%
|
|
0.92000%
|
0.78250%
|
1.04850%
|
0.73150%
|
|
1.01563%
|
0.76100%
|
1.04720%
|
|
|
1.20406%
|
0.72950%
|
1.06920%
|
|
|
1.17313%
|
0.73350%
|
1.06800%
|
|
|
1.03669%
|
0.76025%
|
1.05350%
|
|
|
0.84306%
|
0.80000%
|
1.03200%
|
|
|
0.77775%
|
0.86489%
|
0.97300%
|
|
|
0.76219%
|
0.93561%
|
0.87550%
|
|
|
0.78656%
|
1.07106%
|
0.86000%
|
The London
Inter-Bank Offered Rate, or LIBOR is calculated upon rates that contributor
banks in London offer each other for inter-bank deposits. From a bank's
perspective, deposits are simply funds that are loaned to them. LIBOR is
the rate at which another London bank can borrow money from other banks.
Rate calculations are complex as they incorporate variables such as time,
maturity and currency rates. There are hundreds of LIBOR rates reported each
month in many world currencies.
Price fixing
and boosting the rate falsely for individual and bank gains are serious crimes;
but the scandal seems hushed and secretive. The story doesn't receive much attention.
The average American probably
does not understand this; but for example: many mortgage rates have been
calculated by this falsely inflated index. Most Jumbo Mortgages in California
are tied to LIBOR when the 11th District Cost of Funds Index started
being phased out because there were few banks who controlled the Cost of Funds
in California. Around 2006 the 11th District or COFI index became
the index out of favor because Wells Fargo, Bank of America, and WAMU directly
influenced the rates on savings deposits and dominated, perhaps cornered the
whole savings market in California. Banks went to using the LIBOR that was seen
as an honest and less manipulated index, how wrong that thinking was…
Have we been
over charged on our LIBOR rates? Yes
