Halifax Question

hsvqbutr

Hi All

I know, I know, im jumping on the bandwagon here, but what I want to know is this.

Im taking £18k out of my Halifax account and putting it somewhere else, Sorry but just dont trust it at the moment.

My local branch has said that I cannot get £18k in cash until Next Tuesday. But, if I wanted I could have a bankers draft now for the full amount.

Now, the bankers draft wont clear into my Abbey account untill next Wednesday. Do I take the cash on Tuesday or get a Bankers Draft now. What is the best and safest way??

Cheers
Gary

QTC

I believe that all of your money would be protected under the financial services compensation scheme, should Halifax go bust. Why don't you show some backbone and leave it where it is? The most likely reason for Halifax/BOS going under would be a run caused by people panicking.

fwor

Unless you have £53k in Halifax and are getting your savings below the £35k "fully protected" limit there's no point.

Even then there's really no point: if the Government couldn't let NR go under, it certainly can't let HBOS either.

All other things being equal, you'll lose money by taking a Bankers Draft, in the form of a week (or so) of lost interest.

And if you go for cash, keep your eyes open while walking around the streets with £18k in your wallet.

One other thing is also clear: the NR situation would almost certainly not have turned into the crisis it did if people hadn't started queueing round the block to make pointless withdrawals.

tubbylala

I know nothing about finances, but my sister was left £300,000 when her husbad was killed in an accident at work (she is only34) last year

she went to her bank which is Halifax and they advised her to put in all into stocks and shares through them

she now gets the interet paid to her every 3 months, which is the money she uses for her shopping/bills etc

after hearing on the news today about hbos, i am now worried about the money she has invested through this bank

will she be ok, or should she try and take it out - is that possible when it has all been put in stocks and shares - or should she just not worry about it

i would be very grateful for any advice

thankyou

hsvqbutr

Well after driving through town about 40 mins ago and seeing a line of people at the Halifax cash machine I think Im well justified in being concerned for my hard earned and saved cash. I will be showing my backbone in the que for it tomorrow morning.

OldNelly

If anyone did have to rely on the £35k protection, how long would it take to get your money back?

Cranston_2

I expect the Lloyds deal to be tied up before doors open Thursday.

No one in power (PM, Govt, BOE, FSA, LLoyds, HBOS) wants to see TV pictures of customers queuing in a replay or NRK.

AnonyMouse_2

hi tubbylala, it sounds as though your sister may have a HBOS PIP or GIP. As the markets have dropped over recent months the policy is likely to be worth a lot less than she initially invested. If she is willing to take a loss then she can ask to surrender the policy. Contact HBOS for a valuation and consider whether she should speak to her PFA or PCM about the funds she is invested in. Ultimately it is a risk based product with exposure to stocks and shares and it depends on the level of risk she is content to take not only with the exposure to the market but also HBOS itself. The FSCS only covers investments up to £48k (100% of first £30k and 90% of next £20k). Another consideration is the tax implications in surrendering the policy. Just don't act in haste, ensure she makes an informed decision.

concorde

QTC wrote: »

I believe that all of your money would be protected under the financial services compensation scheme, should Halifax go bust. Why don't you show some backbone and leave it where it is? The most likely reason for Halifax/BOS going under would be a run caused by people panicking.

I fully agree with QTC. In the northern rock case, anyone with savings above 2000 GBP had an incentive to run on the bank because they were only guaranteed 90% of the next 33,000 GBP under the FSCS. With the new rules there should be no reason to run except if you have more than 35K invested.

regularsaver1

investments have a different protection limit on top of the £35k for savings deposits and as well as

rosy

Cranston wrote: »

I expect the Lloyds deal to be tied up before doors open Thursday.

Don't know if this has been posted elsewhere - apologies if it has - but I just spotted this on BBC website - says deal is completed and to be announced tomorrow
http://news.bbc.co.uk/1/hi/business/7622180.stm