Icesave question...

smalex

IF Icesave went bust, which i know is fairly unlikely, how long would it take to reclaim savings from FSA or Icelandic equivalent? We have a small amount saved there (4.5K) which is all earmarked/committed to various suppliers for our upcoming wedding in 8weeks time. I know the money is safe in the long run, and I really don't want to add to any panic by withdrawing money from generally stable banks, but how sensible is it to leave the money where it is, given that its all required within the next 8 weeks?

Stavros_3

Hi, welcome to the forum, if you schroll down below on the topics you will see various threads being discussed on this subject. Also there is a search thread facility on the green toolbar above, just type in either Icesave or FSCS and the threads discussing those issues will appear

KingL

Nobody really knows as its never been needed/done.

Some other banks state that "it should be done in less than 3 months" under EU requirements. It's probably safe to say that it wouldn't be lightning-fast.

smalex

Thanks Stavros, I did search but most people situations seem to be a little different to my own, in that most people are making longer term savings with them.

KingL- thanks, its what i assumed i suppose... that it would take a number of months. Its such a gamble.. its so unlikely it would happen, but on the otherhand, we've saved long and hard for this one day, and it would be so much stress and hassle to sort out all the people we owed money to, if we had to wait months for our savings to come back.

Stompa

http://www.icesave.co.uk/important-information.html

"Under EU law compensation for any losses incurred due to the failure of a bank should generally be paid within three months - regardless of whether it is through a passport scheme or the UK Financial Services Compensation Scheme."

jp01_2

smalex wrote: »

IF Icesave went bust, which i know is fairly unlikely, how long would it take to reclaim savings from FSA or Icelandic equivalent? We have a small amount saved there (4.5K) which is all earmarked/committed to various suppliers for our upcoming wedding in 8weeks time. I know the money is safe in the long run, and I really don't want to add to any panic by withdrawing money from generally stable banks, but how sensible is it to leave the money where it is, given that its all required within the next 8 weeks?

''You know it is Unlikely to go bust''??? Oh really
Please read the Wall Street Journal
http://online.wsj.com/article/SB122308508391204449.html?mod=googlenews_wsj
They are talking of a rescue package for the whole Icelandic banking system from the International Moneytary fund.

Some quotes from the article.
If the Icelandic government is forced to bail out those banks, its debt could go up to astronomical levels as a share of GDP," says Ben May, an economist at London consultancy Capital Economics.

"There is skepticism that Iceland's finances could cope with a systemic banking failure," said Gavan Nolan, a credit analyst at Markit.


If you need the money in 8 weeks why not take it our now?

Andrew64

I certainly wouldn't want the hassle of having to deal with the compensation scheme in Iceland! Better to get your money out now to avoid any worry.

Oblivion

jp01 wrote: »

If you need the money in 8 weeks why not take it our now?

Totally agree. For the sake of 8 weeks interest ... £34 ? ... I'd remove it now for the peace of mind, especially since it's earmarked for something as important as a wedding.

Dave.

Paul_Herring

jp01 wrote: »

''You know it is Unlikely to go bust''??? Oh really
Please read [...]

Does it involve wheelbarrows and copious amounts of paper to buy a loaf of bread?

sadabbott

Under EU law compensation for any losses incurred due to the failure of a bank should generally be paid within three months - regardless of whether it is through a passport scheme or the UK Financial Services Compensation Scheme.

SeanW

nilrem wrote: »

Are you on a mission to 'destroy' Icesave or something? Everyone of your posts is anti Icesave, and designed to encourage people to move their savings from Icesave, care to tell why? Have they upset you or something?

Maybe it's all a conspiracy by the Save the Whales campaign.