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Might Be Of Interest To Those With London Scottish Bank Fixed Rate Accounts
bristolleedsfan
Posts: 12,932 Forumite
Comments
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I'm not sure I really wanted to know (as you have given me another potential worry, I've not clicked the "thanks" button!)
I suppose the good news is at least there can't be a run on these fixed term deposits so at least there is a chance that this can be sold as a going concern without having to resort to the FSCS.0 -
necer herd of them,
but thanks anyway for letting know. its good to keep upto date with whos going under:jYou can have everything you wont in lfe, If you only help enough other people to get what they wont.:j0 -
Just renewed a 1 year bond with these!0
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London Scottish Bank goes bust
London Scottish Bank has announced that it has gone into administration.
LSB, which agreed a plan with the Financial Services Authority to reduce its lending earlier this year, proved unable to resolve a shortfall in its capital reserves.
In a statement, the Treasury said no savers would lose money as a result of LSB's collapse, even if their savings exceed the £50,000 cap set by the Financial Services Compensation Scheme.
"The Chancellor has put in place arrangements to ensure that all eligible retail depositors in London Scottish Bank will receive their money in full, including those with balances above the current 50,000 pound FSCS limit," the Treasury said.
The Manchester-based firm has been established for more than a century and specialises in debt purchase, debt collection and unsecured lending.poppy100 -
From the FSA website today1 December 2008
On 30 November, the FSA determined that London Scottish Bank plc should be prevented from accepting further deposits as it no longer met the FSA’s threshold conditions for authorisation. It was placed into administration later that evening by the Court on the application of its directors. Ernst and Young has been appointed as administrator.
As a result of the bank’s administration the Financial Services Compensation Scheme (FSCS) has been triggered to safeguard retail deposits. The FSCS is now putting arrangements in place to pay back customers and will provide further information for customers shortly. The Chancellor has taken action to protect FSCS eligible retail depositors above the FSCS limits.
Eligible retail depositors will be compensated through the FSCS with HM Treasury protecting balances above the current UK deposit limit of £50,000. The FSCS will administer the full payout of deposits.
London Scottish Bank plc based in Manchester, accepted deposits, and provides loans principally through door-to-door collection as well as mortgage business including ‘right-to-buy’ under local authority housing sales. The bank has approximately 10,000 depositors.
Further information about the FSCS can be found at https://www.fscs.org.uk or by calling 020 7892 7300.
Bum - there goes my 3 year bond, unless they let the fixed rate bonds run, like they did my Icesave0 -
How many councils have put their council tax payers' money in this one? I hope not many as there have been negative reports about this bank for a long time.0
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info_addict wrote: »Bum - there goes my 3 year bond, unless they let the fixed rate bonds run, like they did my Icesave
FT are reporting that the fixed term bonds will be honoured at their current rates, courtesy of the taxpayer - you claim to the FSCS at the end of the term.poppy100 -
How many councils have put their council tax payers' money in this one? I hope not many as there have been negative reports about this bank for a long time.
No councils or any public bodies. This a sub prime lender."An arrogant and self-righteous Guardian reading tvv@t".
!!!!!! is all that about?0 -
robin_banks wrote: »No councils or any public bodies. This a sub prime lender.
Yes, but they also offered high interest fixed-rate savings bonds to savers, including public bodies like councils.poppy100 -
According to The Times there at least 600 customers with over 50K in the bank.0
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