Independent Scotland's FIAT currency - when should I move my savings?
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Aberdeenangarse
Posts: 1,258 Forumite
In my opinion there's no point in waiting and I moved all mine out of Scottish Institutions in the last couple of weeks. There's just too much uncertainty. :mad:
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So, although you're titling the thread 'when should I move my savings?', you're really just making a statement that you have moved your savings, accompanied by an angry face.
You are right, there is uncertainty. Surely the thing to do if there is uncertainty is to wait for more certainty rater than making a snap decision. The fellow in your avatar is a fictional alcoholic imbecile and quite possibly the type of person who would have done as you have done. If it were me with pounds sterling in a UK bank I would not be following suit today, no matter which side of the border the vault was sitting.
We don't know whether the voice of the people will be to vote yes or no in the referendum. In a few weeks we will have found out the answer to the question.
After that, IF there is a yes vote, plans would be drawn up and consulted on. Much later, laws would be implemented to say what happens to existing pounds IF there's a new fiat currency. There is no 'going live' date on 18 September. Merely, from that date, some of the uncertainty will be removed. Every second of every business day thereafter, until some new laws get implemented, you would have the opportunity to move money out of Scottish institutions if you didn't like the consequences.
But at least you would be doing that with knowledge of the consequences rather than going 'aaargh, it's all so uncertain, I must flee right now!', which sounds foolish.0 -
I'd pay more attention to Who my money was with and Their intentions should there be a yes vote- if it is one that says they are moving south, keep it there.0
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I've moved a large sum out of Scotland and Scottish banks or financial institutions.
My family have all done similar.
I would advise anyone else to do the same.
As capital controls preventing movement of funds are likely in the event of a Yes vote.
http://www.huffingtonpost.co.uk/2014/08/29/scottish-independence_n_5735192.htmlIndependence could leave Scotland in a "financial mess" as it suffers the "wholesale relocation" of financial activity away from the newly independent nation, according to a research paper.
A report by Capital Economics predicts "significant capital flight" by banks, insurance firms and pension funds in the event of a Yes vote.
The report said: "We would not be surprised if the Bank of England's contingency preparations, which (bank governor) Mark Carney highlighted two weeks ago, included capital controls on the Scottish financial sector to prevent a run on Scottish banks immediately after the referendum result was announced."“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.
Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”0 -
bowlhead99 wrote: »Every second of every business day thereafter, until some new laws get implemented, you would have the opportunity to move money out of Scottish institutions if you didn't like the consequences
That's not necessarily correct.
Capital controls to prevent movement of money are very possible in the event of a Yes vote to prevent a run on Scottish banks.
If that happens, there would be no notice, and no opportunity to move funds before it took effect.
That is not the same thing as losing all your money of course, as funds below the government guaranteed amount would continue to be protected until independence was completed, even if there was a bank run.
It's just that you might not be able to access them...“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.
Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”0 -
I've just started out with an S&S ISA with Charles Stanley Direct - their address is Edinburgh.
Does this mean that my money is technically in Scotland?Left is never right but I always am.0 -
Scratch that, just found this:
Charles Stanley Direct is a trading name of Charles Stanley & Co. Limited. Registered in England No 1903304. Registered Office: 25 Luke Street, London EC2A 4AR. Authorised and regulated by the Financial Conduct Authority (No. 124412). Member of the London Stock Exchange. Prices, News and Fundamentals provided by Thomson Reuters
Interesting debate though; whether or not anyone is correct in worrying about their money being north of the border the mere fact that anyone is worrying is enough to have an effect. Becomes one of those self fulfilling prophecies. A bit like people campaigning against building energy plants in their towns because it will lower house prices - make enough noise and of course it will cos you've scared everyone.
My two penneth on both scottish independence (not that my view counts) and the potential UK referendum on EU membership is that 98% of the population eligible to vite are in no way qualified to make such decisions (and I include myself in the 98%); politicians with their own agendas (generally ego driven power trips ala Salmond) will jump on any emotive bandwagen they can to get the public behind them.
For me its frightening to watch X-Factor being played on a global scale with such high stakes and consequences for us all.Left is never right but I always am.0 -
I've just started out with an S&S ISA with Charles Stanley Direct - their address is Edinburgh.
Does this mean that my money is technically in Scotland?
Unknown.
Charles Stanley Group PLC is registered in England, as are most of the subsidiary companies, so I suspect they're safe although that's not 100% clear.
They have a couple of subsidiary companies registered in Scotland though, namely...
Sutherlands Group Ltd
Registered in Scotland No. SC230277. Registered office: 2 Multrees Walk, St Andrew Square, Edinburgh, EH1 3DQ
Sutherlands Research Ltd
Registered in Scotland No. SC233029. Registered office: 2 Multrees Walk, St Andrew Square, Edinburgh, EH1 3DQ
.... I have no idea in which companies they hold funds, or in which banks.
They say the following about losses in the event of a bank failure.Should a bank in which we have placed funds become insolvent or its assets be frozen or seized by the government, then we would of course make every effort to recover any money lost.
Given that client funds are split between different banks at any one time, the failure of any one bank will only affect a portion of invested funds. Should such a situation arise, we have received advice from a leading firm of lawyers that the appropriate treatment is to divide the loss on a pro-rata basis amongst the entire pool of funds that we hold for clients so that the effect of any default is proportionately the same for each client.“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.
Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”0 -
Charles Stanley Direct is a trading name of Charles Stanley & Co. Limited. Registered in England No 1903304. Registered Office: 25 Luke Street, London EC2A 4AR0
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My two penneth on both scottish independence (not that my view counts) and the potential UK referendum on EU membership is that 98% of the population eligible to vite are in no way qualified to make such decisions (and I include myself in the 98%); politicians with their own agendas (generally ego driven power trips ala Salmond) will jump on any emotive bandwagen they can to get the public behind them.
For me its frightening to watch X-Factor being played on a global scale with such high stakes and consequences for us all.
Agreed....“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.
Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”0 -
A string of British companies have transferred billions of pounds in pension funds from Scotland to England due to fears over separation.
This has been prompted by fears that the value of the funds would plummet if Scotland walked away from the rest of the UK.
A Dundee based businessman Tim Allen said that a firm was moving its multi-million pound pensions fund from an Edinburgh based firm to a provider in England. Financial service industry representatives said similar things were happening “across the board” as firms implement contingency plans.
Mr Allen said it was a direct result of uncertainty caused by the possibility of separation.
Mr Allen told the Mail on Sunday: “ English employees were more comfortable about it being held in England that Scotland in case it became an independent country.
“This is a pension fund for staff who work across the UK and their pension is managed by a Scottish pension manager in Edinburgh but has now been moved to London.
“It is a direct result of the uncertainty caused by the possibility of a Yes vote. It is a private company pension fund that amounts to a substantial amount of money.
“The comment that the pension fund provider in Edinburgh made to us that this was not an unusual occurrence and was happening more and more.”
So not just individual depositors now.....“The great enemy of the truth is very often not the lie – deliberate, contrived, and dishonest – but the myth, persistent, persuasive, and unrealistic.
Belief in myths allows the comfort of opinion without the discomfort of thought.”
-- President John F. Kennedy”0
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