Kaupthing Edge, Should I Avoid?

LucyTheDwarf

codger wrote: »

Which prompts the question: what is is with this country anyway that in times of trouble there are so many who seem actually to enjoy ratcheting everything up to ever greater and more dramatic heights?

I blame reality TV culture. People are cowards, who enjoy watching other's misery.


EDIT: Also, great post. Thank you.

Dave2012_2

codger wrote: »

...
Which prompts the question: what is is with this country anyway that in times of trouble there are so many who seem actually to enjoy ratcheting everything up to ever greater and more dramatic heights?

now that is an interesting question :beer:

MABLE

I have a 3 year deal on their fixed savings account. I am thinking about withdrawing it but I know penalities will apply. Does anyone know what the penality would be by withdrawing the money early.

altocumulus

MABLE wrote: »

I have a 3 year deal on their fixed savings account. I am thinking about withdrawing it but I know penalities will apply. Does anyone know what the penality would be by withdrawing the money early.

Interesting, my reading of the t&cs can find no mention of any penalties....unless I'm not looking properly...:A

anthony7777777

In the event of Kaupthing leaving the FSACS scheme will you be able to redeem a fixed term bond without penalty ?

MABLE

Following found on their website regarding withdrawal of funds early from a fixed rate product.

quote
If you need to withdraw funds from a fixed term deposit prior to maturity then the fixed term deposit will be closed in full (on a business day), and the interest rate earned during the period of the deposit will be reduced by 1%. No notice period applies.
unquote

Does this mean then that if the rate offered initially was say 7.15% interest and I withdraw early may savings would attract interest at the rate of 6.15%?

Jonbvn

MABLE wrote: »

Does this mean then that if the rate offered initially was say 7.15% interest and I withdraw early may savings would attract interest at the rate of 6.15%?

Yes. This is what makes the 3-year term fixed rate account better than the IA account, even when you "break" it.

campins

luvpump wrote: »

I am in the process of pulling out of K.E, ,..for one reason only, The terms & conditions state that they can transfer your money to K.E Iceland from the u.k Division & the customer by accepting the T&C's agrees that they can do this, should they feel the need, In which case you would no longer be covered by the Fscs & move to the Icelandic version ..
I like the Bank & there customer service is very good, There probably wont be any problem with them, but in such uncertain times I would rather play safe-er, at least for the time being ..

This clause in the T+Cs, cannot reduce the amount of protection you get below the level of protection of the FSCS scheme because you joined the K.E. bank in the U.K....thought's ? :eek:

KingL

campins wrote: »

This clause in the T+Cs, cannot reduce the amount of protection you get below the level of protection of the FSCS scheme because you joined the K.E. bank in the U.K....thought's ?

Thought: It would be irrelevant where you 'joined'. By agreeing to the existing TnCs you have already agreed to be novated to Kaupthing Bank hf (the icelandic version), which is subject to the icelandic protection system.

Also, note that it wouldn't reduce the amount of protection, it would just be structured differently. You would have to claim the first part from the Icelandic system and the remainder from the UK system.

"Kaupthing Bank hf is an authorised bank in Iceland and is a member of the Icelandic Depositor Guarantee Fund. Its UK operations are authorised by the FSA, and it pays a levy to the FSCS. However, as Kaupthing Bank hf is not a UK firm it does not come under the direct control of the FSA.
Were Kaupthing Bank hf to be declared insolvent, the Icelandic fund would pay compensation up to its limit of €20,000. If a depositor’s loss were higher than this, the FSCS would pay the remainder up to our limits, as outlined above."

campins

luvpump wrote: »

I am in the process of pulling out of K.E, ,..for one reason only, The terms & conditions state that they can transfer your money to K.E Iceland from the u.k Division & the customer by accepting the T&C's agrees that they can do this, should they feel the need, In which case you would no longer be covered by the Fscs & move to the Icelandic version ..
I like the Bank & there customer service is very good, There probably wont be any problem with them, but in such uncertain times I would rather play safe-er, at least for the time being ..

This is the statement on the K.E. web site,
"Kaupthing Edge is a trading name of Kaupthing Singer & Friedlander Ltd which is authorised and regulated by the Financial Services Authority in the UK. Deposits are held by Kaupthing Singer & Friedlander Ltd and covered by the UK Financial Services Compensation Scheme." so the total amount of protection cannot get less than the FSCS scheme offers.