Darkstone Code-Chapter 760 - 0758 Cheap Bones
"Although it’s against the rules, I don’t see it as a problem!"
The head of the Royal Bank’s loan department smiled as he said this to a nobleman. The nobleman’s previously displeased expression softened into a more reserved smile.
This nobleman had come early in the morning, demanding to mortgage his manor, villa, luxury car, and a large collection of art and jewelry.
Honestly, encountering such nobles often means a big profit. There are two types of such nobles.
The first type might have gambled away all their assets in some wager.
There are gamblers among the nobility, and they gamble on a large scale.
Bets of one or two hundred, one or two thousand, or even ten or twenty thousand seem insufficiently thrilling to them.
When wealth reaches a certain level, winning or losing is merely a change in numbers; such changes are hard to make one’s heart race.
Only when gambling on estates can these gambling nobles feel joy, the joy of walking a tightrope over the abyss, the joy of confronting unknown fate.
In Gafura’s history, nobles going bankrupt at the card table is not unheard of, and they are not rare.
Another possibility is that these nobles’ "life cycles" are nearing an end, like when it’s uncertain if they can obtain new favors from His Majesty the Emperor and might become commoners.
Their assets could likely become a liability to them, so converting their estate to money and leaving Gafura becomes a good option. Of course, using the money to find ways to have the Secretariat petition for favors on their behalf is also possible.
No matter the reason they need to mortgage their assets to the bank, it means the bank profits greatly. Even if these people are nobles, the bank cannot give them loans at one hundred percent of the market price.
Seventy percent is the maximum concession. If a commoner wants to borrow against collateral with nobles and the Royal Bank, they can only get forty to fifty percent of the actual value; in a merchant’s bank, it could be slightly higher but not exceed sixty percent.
Seventy percent might not seem like much, but it’s actually quite considerable, especially since nobles always have some good items on hand.
For example, rewards from the Imperial Family, gifts from other nobles, or various artworks offered by capitalists trying to win their favor. If the valuation is too high, they might treat the bank as a cash out channel.
This morning, the nobleman came to mortgage almost all his properties at once. Although this deal could be profitable, it wasn’t easy to approve because the loan amount was too large.
Fortunately, he was only a minor noble with not much wealth. 𝗳𝗿𝐞𝕖𝘄𝗲𝕓𝗻𝚘𝚟𝕖𝐥.𝚌𝕠𝕞
While saying it was hard to handle, the director smiled as he stamped the contract, showing that it was indeed a difficult task from a bureaucratic standpoint, while also highlighting his role and flexibility in the matter, ensuring he wouldn’t be seen as a "villain" later on.
"I’ll have someone transfer the money to your account shortly..."
The minor noble smiled and nodded, indicating his satisfaction with the director’s efficiency. He casually asked, "Can it be in cash?"
The director was somewhat surprised, "Are you sure you want it in cash?"
"This amount of cash could almost fill this room. Transporting it would also be troublesome, and having so much cash in your house could lead to uncontrollable security issues."
The minor noble hesitated, "I’ll make a call..."
Under the director’s guidance, the minor noble went into the lounge. A few minutes later, he came out with his initial calm demeanor restored. "Alright, but you must ensure that when I wish to withdraw these funds, they must be accessible. We need to sign an agreement..."
The director was a bit bewildered, but nobles had always been a confusing group, "Actually, there’s no need for you to worry about this issue. As the headquarters of the Empire’s bank, we have the confidence and capability to meet any withdrawal demand at any time!"
There was a genuine pride on his face as he said this, having omitted the word "Royal," which should have been "Empire’s Royal Bank."
This also reflected the strength of the Empire’s Royal Bank.
Though he was confident in this, the minor noble was not so assured. "If we can’t sign a supplementary agreement, then you’ll have to give me cash. You don’t need to worry about security issues."
Seeing that the noble wasn’t joking, the director hesitated, "I need to inquire, please wait a moment."
He left the room and went next door, reporting the situation to the acting chairman who was currently presiding over the bank through an internal phone call.
The acting chairman, although finding it a bit bewildering, thought it was indeed inconvenient to produce such a large amount of cash at once. The underground vault used by the Empire’s Royal Bank to store cash was cumbersome to open, requiring several procedures and five chairmen to simultaneously insert their keys.
For such a small sum, taking a couple of hours to deal with it seemed unworthy to him.
"I agree in principle for you to sign this supplementary agreement, but be cautious with the phrasing. Let the legal department help draft the agreement..."
Before long, the director returned to the room with the signed agreement in hand and signed this supplementary agreement with the minor noble.
If the minor noble could not withdraw his money from the bank account when needed, then the bank would have to compensate at least 1.5 times, with the total compensation increasing by five percent each day it’s delayed based on the previous day’s total.
The agreement seemed to have no major issues, and after both parties signed, the director personally saw the noble out.
Back in his office, before he could rest, the reception called. Another noble wanted to apply for a loan.
"What’s going on?" the director wondered at the phone, but proceeded to accommodate this noble.
This noble’s request was similar to the previous one’s, wanting to mortgage as much as possible and asking for cash. The other party came well-prepared, with all sorts of property documents, a few servants pushing a cart, bringing in wrapped paintings and artworks.
After the usual procedures, the other party also requested a supplementary agreement.
Once all agreements were signed, the director softly asked, "Pardon my impudence, but why do you insist on the ability to withdraw cash at any time?"
The noble in front of him glanced at him and shook his head without speaking, but even without words, the director seemed to understand something.
"Pardon me for being rash," he said, standing up to see the noble out.
After the noble got in the car, he immediately went to the acting chairman’s office to share his concerns. "Another noble just mortgaged his property, also requesting cash. I feel... there might be a third, a fourth!"
The acting chairman, a man in his sixties, put down his work and looked at the loan department director. "What are you trying to express?"
The director hesitated over whether to speak but ultimately decided he should. If something did happen, he might have to bear some responsibility.
By voicing the issue now, he would not bear the blame if problems arose later.
"If they all come to borrow and demand cash and immediate withdrawal, won’t it affect our normal operations?" the director carefully phrased, avoiding the question of whether the vault had enough money, focusing instead on operational impact.
The acting chairman thought for a moment and then shook his head, "Don’t worry about it. We are capable of fulfilling their withdrawal demands. You need to have confidence. If we can’t even handle this, we wouldn’t be the Empire’s largest bank!"
Having finished, the acting chairman picked up his pen but kept his eyes on the director, "Is there anything else?"
The director wanted to say more but sensed the acting chairman’s desire not to be interrupted, so he chose to leave.
He wanted to mention that the nobles’ money in the bank included not only their loaned portion but also their deposits, which was not a small amount.
But the acting chairman was clearly not interested in these concerns and would no longer involve himself.
Having reported the issue, if any problems did arise, he wouldn’t bear the associated responsibilities or losses.
More nobles showed up afterward, and it wasn’t just the Empire’s Royal Bank. All banks within the Imperial Capital and its surrounding cities witnessed a surge of nobles taking out massive loans. For a time, a peculiar atmosphere pervaded the surroundings of the Imperial Capital, a faint scent of blood.
It was like... a drop of blood falling into the sea, dissolving into strands you know exist but cannot see.
You can’t see it, but some things can "see" it, like sharks.
At 9:30 in the morning, the Gafura Financial Index underwent a sharp drop just after the market opened, plunging by two percent.
The primary reason for this steep decline was the Finance Minister’s comments on a TV program the night before about thoroughly investigating the management of listed companies.
This was no joke. Six large-cap stocks were suspended, and all corporate accounts were frozen. The Finance Minister demonstrated through action that he was quite serious.
But just when people feared that the Gafura Financial Index might continue to fall, an unbelievable scene unfolded.
The financial index not only stopped declining but slightly rose after a period of lateral movement. Surprisingly, it ticked upwards, a small increase but visibly upward in the graphs people maintain!
This news quickly spread throughout Gafura, and even the Finance Minister became aware of it.
However, he showed no delight, only a face full of sarcasm. Rumor has it that he even cursed.
"Despicable cur!"
