Brexit vote panic with life savings advice needed .

124

Comments

  • veryintrigued
    veryintrigued Posts: 3,843 Forumite
    First Anniversary Name Dropper First Post
    edited 14 September 2016 at 3:03PM
    dunstonh wrote: »

    Dont mix up the media comments and the debate section of this board (where predictions were often wild) with the more level headed posts made in this section.

    You seem to have missed my earlier post. Take a look back at the couple of threads in this section.

    There is some cringeworthy stuff in them from both sides from some very regular posters, still very entrenched and even more Nostradamus like and will continue to scare those like the O.P.
  • veryintrigued
    veryintrigued Posts: 3,843 Forumite
    First Anniversary Name Dropper First Post
    atush wrote: »
    I suggested before the vote, that anyone such as myself should move some money into USD and Euros if you have things to spend the currency on (i have bills to pay).

    Credit to you for recalling Atush.

    Others on here seem to recall what they want to.
  • Pincher
    Pincher Posts: 6,552 Forumite
    Combo Breaker First Post
    Let us assume you have lost 12% if you exchange back to sterling, NOW.

    So, assuming this 6% interest is risk free and real, it means you can leave it running for two years, so you lost 12%, and gained 12%.

    Not so bad.
  • Ballard
    Ballard Posts: 2,849 Forumite
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    kingrulzuk wrote: »
    Yes need to transfer it into foreign currency, earn the interest but to transfer it back to GDP will be a pain but if moving or retiring there will be ok.

    I see. That's a terrible way to save unless, as you say, you want to keep your funds in that currency forever. I doubt that many on here will be retiring to counties which offer rates such as that.
    I hate verisimilitude.
  • AnotherJoe
    AnotherJoe Posts: 19,622 Forumite
    First Anniversary Name Dropper First Post Photogenic
    kingrulzuk wrote: »
    Yes need to transfer it into foreign currency, earn the interest but to transfer it back to GDP will be a pain but if moving or retiring there will be ok.

    It will be more than a "pain" any country paying that much interest will also have its currency depreciating, almost certainly much faster than the interest rate is rising it.

    Your suggestion is of no use at all to the OP whose money is in dollars amd also has no intent of moving to whatever country you are so coy about.
  • Glen_Clark
    Glen_Clark Posts: 4,397 Forumite
    You don't have to say which bank, which country and which currency etc.
    But nobody can advise you properly unless you do.
    “It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair
  • klmeer
    klmeer Posts: 9 Forumite
    But thats my point . If the exchange rates stay the same of course but who knows where the rate will be this time next year .
  • Glen_Clark
    Glen_Clark Posts: 4,397 Forumite
    The strength of the US$ would be the least of my concerns.
    Its the strength of the bank which matters, and nobody can advise you of that when you won't tell them which bank it is..
    “It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair
  • Ballard
    Ballard Posts: 2,849 Forumite
    First Anniversary Name Dropper Combo Breaker First Post
    Klmeer, you've removed the post where you state which country you've deposited the funds so I won't mention it by name but there's a reason why they offer high rates of interest and that's because other banks consider them a risk.

    I must admit that I don't know a great deal about the finances of the country but I have visited it and they do use the US Dollar as much as they use their own which leads me to think that their finances aren't fantastic.

    I personally think that it was a foolish move to place money there but that's not to say that you've lost your money by any stretch of the imagination. It's quite possible that at the end of the term they'll repay in full and the exchange rate will have recovered so you'll be sitting pretty. I genuinely hope so.

    Your fears should serve as a warning to anyone who thinks about placing money in developing countries. It could work out fine in the end but it'll be a stressful time so is it worth it?
    I hate verisimilitude.
  • Glen_Clark
    Glen_Clark Posts: 4,397 Forumite
    I would say risky rather than foolish, apart from that I agree with every word of Ballards post above.
    We would rather say don't worry I am sure you will get your money back (even though we still don't know which bank). But that would make it worse if you don't.
    I would rather be a pessimist, then surprises tend to be nice ones.
    “It is difficult to get a man to understand something, when his salary depends on his not understanding it.” --Upton Sinclair
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