The world has an uncanny knack of maintaining equilibrium.

In nature this is seen when a species becomes too successful and overpopulates an area - food becomes short, diseases spread, and the population is reduced.

In science we learn that every action leads to an equal and opposite reaction - ensuring that energy remains in balance.

Some beliefs have the concept of Karma - essentially, you get what you give.

And in the financial industry over these last few weeks we've seen that greed, overly-tricksy schemes, and lack of respect for the end customer, lead to loss of trust, loss of money, and loss of status in the end.

In America, and here in Britain in the last few weeks, we've seen what I call 'the pendulum effect'. The further you push the pendulum one way, the further it is eventually going to swing back the other way.

If you don't try to push the pendulum your way - and instead focus on trying to maintain balance - treating customers honestly and fairly, and behaving with decency, taking just your fair share - then the pendulum stays in the middle, and you don't have to fear it swinging the other way.

If, on the other hand, you put all your energies into pushing that pendulum as far as you can to your side - stacking everything in your favour to the detriment of others - then you'd better be ready, because at some point you'll push it so far that you can no longer contain the force that has built up, and the pendulum will swing rapidly and forcefully away from you - swing away from you just as much as you pulled it in your direction.

In Britain, the banks have long been pushing the pendulum their way. Fees have increased dramatically, service has reduced, cunning clauses were concealed in crafty contracts, interest rate rises were passed on immediately to borrowers but delayed for savers - and vice-versa for interest rate cuts, insurance was mis-sold, staff were undertrained and dis-empowered by the computers that said 'no'.

They pushed debt to people who couldn't afford it - advertising that they should be used for fancy holidays that people 'deserve', or new shoes, or a flashy car. All such things are now the 'right' of the citizen - and if their salary can't cover the cost - why not take a loan, an overdraft or credit card? The return of the never-never.

And then the greedy eyes of the bonus-burdened bank bosses feasted on the sight of the housing boom - and they saw that it was profitable.

Lending at five times salary, 125% mortgages, no-deposit mortgages, shared ownership with so much crafty small print - all these tricksy schemes to suck in the unsuspecting first-time buyers so desperate to get on that very first rung of the fabled housing ladder.

But then as the market becomes competitive, and the main target customers are all served - how to find new customers? How about lending to poorer customers who wouldn't normally be able to get mortgages - but let's make even more money by giving them much more expensive interest rates than on the normal mortgages we said they couldn't afford.

The City applauded, big investments were made in these clever schemes. Greed was good.

But then, too late, a problem is spotted. First in America, now here. People are having trouble affording the repayments of all these cleverly extended and tweaked mortgage deals, while also having the holidays, shoes and cars that they deserve as modern citizen consumers.

Customers are beginning to default on repayments, debts are beginning to go bad. Repossession statistics rocket, bankruptcies soar.

And the greedy, clever financiers start to panic and turn on each other in their fear.

Meanwhile the public has lost all trust in once respected and honorable institutions. Promises and assurances are no longer believed.

The pendulum swings down hard and fast, on its curve away from those who had spent so much time and money ensuring it was pushed as far in their direction as possible.

Beware the pendulum effect. Seek to maintain balance and fairness and you will be rewarded with stability and loyalty. Seek to swing things your way and they will swing back.

The world has an unanny knack of maintaining equilibrium.