Spain: Banks' bad debts at new record

[Libertarian_Guard]

The value of bad debts held by Spain's banks in July rose to 169.3bn euros ($221bn; £136bn), according to latest figures from the central bank.

The Bank of Spain said 9.9% of banks' total loans were in arrears, up from 9.4% a month before.

It was the highest bad loan ratio since the central bank began compiling the data in 1962.

Almost a quarter of Spaniards are now out of work, and many analysts believe Spain is inching closer towards seeking a full financial bailout.

http://www.bbc.co.uk/news/business-19633964

[Glass]

It occurs to me that there is no way to determine how big Spain's debt is right now or for any other country caught up in this mess. The bonds and other instruments have been rehypothecated, sold again and again through different funds, creating multiple claimaints for each debt package, all isolated from each other. As long as there is no open call to account the debt is never ending now.

Multiple people or groups can come forward claiming to have a right to a single debt. If the claims are not verified, then counterfeit claims get paid. The State is guarrantor to the debt. It has no control over things now. It faces mutiple payouts on claims due to counterfeited claims. The only way to counter this would be to challenge every claim and ensure that all claimants were valid and not duplicates, hypothecated for broker fees or outright counterfeits. I don't think they will have that opportunity. The people ultimately pay manifold.