e savers

voyagerbear

I have read the information on the site. With approx. £190K to put somewhere for about six months, an application is in process for a Birmingham Midshires esaver account . No money has changed hands as this was only started yesterday.
In light of yesterday’s events, is it advisable to put all of it in this account or spread it around as suggested on the site? I think the top accounts are Kaupthing Edge and B.Midshires and suit, as they pay interest monthly. Basically can you suggest the safest way to do this and any further suggestions of other monthly interest e savers would be appreciated. Thank you.

YorkshireBoy

For every respondent saying "spread it around", there will be another saying "the Government won't let a bank collapse"...so at the end of the day it's down to you and your ability to sleep at night.

If you decide to spread it around, keep each deposit under £33K so if interest is added you'll still be under the £35K limitation.

Find your (6 or 7) accounts here...

http://www.moneyfacts.co.uk/searches/savings.aspx

Hungerdunger

Someone phoned into Moneybox Live yesterday with a problem - he could either keep £150k in one account and risk losing it, or he could spread it around several accounts, but it would be a lot of work keeping track of them all.

My heart goes out to him. :rolleyes:

voyagerbear

This only applies to defaults after 1 Oct 07.
The amount was changed on the back of Northern Rock; if an institution had defaulted earlier (only very niche players), you'd get 100% of the first £2,000 of your cash back and 90% of the next £33,000 on top; so you'd get £31,700 of the first £35,000 back.
I may be a bit thick but the above is on the website. Does this mean that if you put in £35000 now you will only get £31,700 and not actually £35000?

Also are there any current problems with Bradford and Bingley and Alliance and Leicester?

tradetime

voyagerbear wrote: »

This only applies to defaults after 1 Oct 07.
The amount was changed on the back of Northern Rock; if an institution had defaulted earlier (only very niche players), you'd get 100% of the first £2,000 of your cash back and 90% of the next £33,000 on top; so you'd get £31,700 of the first £35,000 back.
I may be a bit thick but the above is on the website. Does this mean that if you put in £35000 now you will only get £31,700 and not actually £35000?

Also are there any current problems with Bradford and Bingley and Alliance and Leicester?

No, if you put £35k in now you will get £35k.

Alliance & Leicester are in the process of being acquired by Banco Santander, board, shareholder, and competition commission have approved the deal, should complete next month.

Bradford & Bingley will most likely be acquired by someone in due course

voyagerbear

Thanks for the above, so is it ok to save with Alliance and Leicester and B&B? Need to find several places for the £190K. Will check they are all under different umbrellas.

Must say this forum is invaluable to the novice. Thanks,the whole site is very helpful and easy to understand.

tradetime

Well I have an account with A&L, and have no intention of moving it, nothing with B&B, but if I had money looking for a home, and it was paying a decent rate, so be it.