Slim Posted June 19, 2009 Share Posted June 19, 2009 PS - anyone know any non Irish banks here which pay interest on € btw? HSBC appear to have a euro account that pays more interest than sterling: http://www.offshore.hsbc.com/1/2/internati...t-rates-savings Link to comment Share on other sites More sharing options...
pongo Posted June 19, 2009 Share Posted June 19, 2009 Turns out that Nationwide and Lloyds TSB do € savings accounts too - which is what I was asking about. Different from what Frances was asking about. Link to comment Share on other sites More sharing options...
Frances Posted June 19, 2009 Share Posted June 19, 2009 can someone please explain why those stuck in the sterling area should not be able to operate a euro account - eg to avoid exhorbitant bank charges re transaction in Europe (maybe I've answered my own question) Actually you can. Just not with a UK or IOM bank, apparently. Daft I know. Eg. Crédit Agricole operate Britline. The criteria being: resident in either the UK*, Ireland or France an existing or future French property owner, or regular visitor** to France * or IOM **lol = anyone! will check many thanks - before my friend had a stroke we were regular visitors to France - not only was it a rip off in conversions, the British cards had a habit of not woking the petrol machines - I asked round most banks on Island and several in UK, all said no, some counter staff even volunteered that others had asked the same question. Link to comment Share on other sites More sharing options...
pongo Posted June 19, 2009 Share Posted June 19, 2009 I'm tight with money and hate paying charges and/or getting rubbish rates. So I prefer to always keep some in a € current account. Not too much. Put a bit in when the exchange rates seem favorable. PS - probably not a good money saving idea --- but PAYG chip & pin € cards seem to exist too. Might be a convenience for some people. PAYG cards tend to be expensive to run. Link to comment Share on other sites More sharing options...
007Pimpernel Posted June 24, 2009 Share Posted June 24, 2009 The future of the IoM as a financial centre I was not present at the forum pow-wow referred to in the IoMToday.co.im. From what I read the forum appeared to have been very keen to attribute the real or potential problems to anything other than the consequences of the demise of KSFIOM. As the FSC's Regulations state, the collapse of a bank in the IoM can lead to loss of consumer confidence. That's why the government sought to hide the demise of KSFIOM by trying to introduce the Scheme of Arrangement in place of liquidation. The DCS is heavily promoted by the banks as a safety backstop for depositors, providing, of course, that they do not deposit more than £50,000. But it is deceptive. It is unfunded, & if triggered it would involve the government putting up £150million with the rest coming from a levy (charge) on the banks. But in reality if the failed bank has the assets the government will recover its £150million (with interest?) AND the banks will be refunded the levy paid (with interest?). But what happens if more than one bank fails? That would change the whole mechanics of compensation. The DCS is itself inherently flawed. [As it turned out so was the Parental Guarantee given to KSFIOM by Kaupthing hf (Iceland)] In any event a deposit in the IoM of a sum in excess of £50,000 should not be contemplated. That reduces the attractiveness of the IoM as somwhere to deposit in confidence one's life savings. It makes the IoM akin to a piggy bank. So do you think prospective depositors need to be told the facts about the DCS & how the system works in the IoM? If so do you think it will give them the confidence to bank in the IoM ? Link to comment Share on other sites More sharing options...
Whatsinaname Posted June 24, 2009 Share Posted June 24, 2009 Having confidence that my savings are safe is definitely a significant factor in deciding where to put my money. If I wanted to take more risks I'd be investing in shares. Since the KSF problem, I've been hoping to minimise the potential for a major loss by using more than one bank, and yes, taking the bulk of it off the Island, preferring institutions that are apparently guaranteed by the government (well the nice lady told me that the Government would have to go bust for me to lose the money I deposit with them). I wasn't a KSF depositer but they way they were left to swing made me nervous about smaller more exclusive brands. Am I over reacting, behaving ignorantly? Maybe.. Link to comment Share on other sites More sharing options...
piebaps Posted June 24, 2009 Share Posted June 24, 2009 The future of the IoM as a financial centre So do you think prospective depositors need to be told the facts about the DCS & how the system works in the IoM? If so do you think it will give them the confidence to bank in the IoM ? Caveat emptor. The DCS is working now in much the same way as it worked when BCCI went pop. How long ago was that. The limit has changed somewhat and the Govt have agreed to chuck in some taxpayer funding to get it going. In fact IIRC the IOM scheme limit was the same as the UK scheme limit. The only difference being that the UK could afford to make a promise that they would guarantee all deposits - although that was something of a lie in reality and it was a big gamble to install confidence in the banking system. If there were major collapses in UK and Ireland, both countries would be as f*cked as Iceland. Link to comment Share on other sites More sharing options...
007Pimpernel Posted June 24, 2009 Share Posted June 24, 2009 ........The DCS is working now in much the same way as it worked when BCCI went pop. ........The only difference being that the UK could afford to make a promise that they would guarantee all deposits - although that was something of a lie in reality and it was a big gamble to install confidence in the banking system. If there were major collapses in UK and Ireland, both countries would be as f*cked as Iceland. I had £250,000 in Northern Rock & HMG guaranteed that. It also guaranteed my savings account £75,000 with LloydsTSB. The only thing that would theoretically attract me to deposit in the IoM is the rather extraordinarily high rates of interest on offer, but I would have to put in more than £50,000 to get the top rate!! Anyway Aspden has told me that I would be as daft to fall for that as I would have been daft to have gone for Kaupthing offering 1% more than the bank next door. I have been wading (again) through the FSC's tome on its banking regulations and notice that Aspden has done a review & he's now got everything nicely stiched up so that if there's another Kaupthing it will be anybody's fault except his! Nice cushy £250,000/yr job, eh? Doesn't leave much room for confidence in the future of banking in the IoM does it ? Link to comment Share on other sites More sharing options...
pongo Posted June 24, 2009 Share Posted June 24, 2009 I had £250,000 in Northern Rock & HMG guaranteed that. It also guaranteed my savings account £75,000 with LloydsTSB. The only thing that would theoretically attract me to deposit in the IoM is the rather extraordinarily high rates of interest on offer In that case you must live in the UK since only UK residents can bank there. So what's your angle ? Why are you so interested in this story ? It's incredibly crass telling people how much money you've got in your account and completely unnecessary in this context since it adds nothing to your point. Oh - and IOM rates are not significantly higher than UK money market rates currently with the exception of the Irish Banks. Link to comment Share on other sites More sharing options...
bellyup Posted June 24, 2009 Share Posted June 24, 2009 I had £250,000 in Northern Rock & HMG guaranteed that. It also guaranteed my savings account £75,000 with LloydsTSB. The only thing that would theoretically attract me to deposit in the IoM is the rather extraordinarily high rates of interest on offer In that case you must live in the UK since only UK residents can bank there. So what's your angle ? Why are you so interested in this story ? It's incredibly crass telling people how much money you've got in your account and completely unnecessary in this context since it adds nothing to your point. Oh - and IOM rates are not significantly higher than UK money market rates currently with the exception of the Irish Banks. Unless you have a Uk address you cannot open a bank in the UK hence the reason that many expats bank with the IOM. Of course they wont now because they see how the KSFIOM depositors have been treated and will shy away. The IOM is still wealthy however with 300 million pounds surplus to requirements in its coffers . Link to comment Share on other sites More sharing options...
Allgone Posted June 24, 2009 Share Posted June 24, 2009 The future of the IoM as a financial centre The only difference being that the UK could afford to make a promise that they would guarantee all deposits - although that was something of a lie in reality and it was a big gamble to install confidence in the banking system. If there were major collapses in UK and Ireland, both countries would be as f*cked as Iceland. With the greatest of respect the Isle of Man could so easily afford to make such a promise and repay all those depositors in KSFIoM. The IoM government has money in reserve, surplus to requirements, unlike the UK and the other countries such as the Netherlands, Germany, etc, etc which have ensured that depositors do not loose out as a result of the failure of their national banking regulator. Nevertheless those countries have ensured, and assured depositors that deposits in their country are safe, they have done so by borrowing. They as you say recognise the vital importance of confidence in their countries financial institutions. The Isle of Man? It appears not to care a hoot, let the depositors rot and with that will of course comes the loss of that vital confidence in the Isle of Man. The money the Isle of Man Government has surplus to requirements? Look at the IoM Treasury budget book - http://www.gov.im/lib/docs/treasury/budget.../budget0910.pdf Turn to page 37 and look for "Reserve Fund" - the figures in there are staggering £349 million!!!! It seems that the Isle of Man is determined to follow Iceland down into the black hole. Link to comment Share on other sites More sharing options...
Alias Posted June 24, 2009 Share Posted June 24, 2009 Why don't you remortgage your house and rent instead if you're stuck for money? It's 'surplus to requirement' to have that financial security.. Link to comment Share on other sites More sharing options...
bellyup Posted June 24, 2009 Share Posted June 24, 2009 Why don't you remortgage your house and rent instead if you're stuck for money? It's 'surplus to requirement' to have that financial security.. It would make a great headline -Depositors destitute while IOM sits on cash mountain. Let them remortgage the IOM shouts like latter day Antoinettes We need out 'financial' security ( so you lost yours by putting it into our bank tough) Link to comment Share on other sites More sharing options...
Stu Peters Posted June 24, 2009 Share Posted June 24, 2009 I'm not the sharpest knife in the drawer when it comes to financial matters. Sadly, failures to stay with the same woman and a failure to avoid risk when in business means that I get by without ever having the safety net of savings. I earn it - I spend it, on the basis that the rainy day I'd otherwise scrimp and save for will probably happen when I'm too old to enjoy much more than a bed bath anyway. If I HAD been more canny and squirrelish, I'd probably pay someone to advise me on where to stash my cash to maximise the return. If that happened to be an Icelandic bank on an island I'd never heard of, I'd either go along with the expert advice (assuming they'd been diligent on my behalf) or I'd choose something gilt-edged but risk-free. If depositors have lost money with no chance of getting it back, it seems that they WEREN'T diligent in assessing the risks of banking here, but I don't think that's the case. In business I lost thousands every year in bad debts - apparently good customers who went bust. I never got a penny back from liquidators and consider them to be highwaymen. But that doesn't appear to be the situation for KSF customers - those with up to £50k at stake will be repaid in full, the others may wait longer and get less, but still a good chunk. It's not the Isle of Man's fault, any more than if people had invested in depreciating shares, property or anything else. There may be questions need answering about the FSC/FSA and the two governments, but I assume they'll be answered in time. I feel sorry for anyone who loses money, but to invest in anything (to have your money 'working' for you) runs the risk of it taking time off sick. There's a risk for every reward, and I don't believe the IOM taxpayer should be held to ransom by KSF investors, whose real argument should be with their financial adviser or those in Iceland. Link to comment Share on other sites More sharing options...
pongo Posted June 24, 2009 Share Posted June 24, 2009 I'm calling BS on your swagger and your "contacts" and your "roaming the world". You're trolling with the help of Google. Not even very well. Link to comment Share on other sites More sharing options...
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