Icelandic Banks - The thread for OFFSHORE savers

christ

FYI

http://www.iomtoday.co.im/news/Kaupthing-Singer-amp-Friedlander-Isle.4572764.jp

occamsrazor

Also news of an emergency sitting of Tynwald tomorrow to discuss upping the limit of depositors protection to £50,000:

http://www.iomtoday.co.im/news/Tynwald-Thursday-morning-emergency-sitting.4572548.jp

Seems to two best sites for Isle of Man news to keep an eye on are:

http://www.iomtoday.co.im/
http://www.manxradio.com/

expatfrance

Re: Pensioner05 - Count me in.

Re: 'Depending on the outcome, as Landsbanki Gurnsey deposits were gaurenteed by the parent, and the parent is still in existance'

I looked at the wording and it says:-

Landsbanki Islands hf has given an undertaking to discharge those liabilities of Landsbanki Guernsey Ltd which Landsbanki Guernsey is unable to discharge from its own assets, whilst it remains a Landsbanki subsiduary.

Not sure if the last bit makes a difference.

gomann

I hate to appear unsympathetic to Guernsey, especially "pensioner05", but "eggs in one basket" springs to mind ....

I dug out an old file yesterday. My late Aunt [departed at age 94], for whom I was executor, had 65 different accounts, spread across probably 15-20 institutions. And she managed it all herself [albeit using an accountant to compile Tax Returns!].

ianmr65

expatfrance wrote: »

Re: Pensioner05 - Count me in.

Re: 'Depending on the outcome, as Landsbanki Gurnsey deposits were gaurenteed by the parent, and the parent is still in existance'

I looked at the wording and it says:-

Landsbanki Islands hf has given an undertaking to discharge those liabilities of Landsbanki Guernsey Ltd which Landsbanki Guernsey is unable to discharge from its own assets, whilst it remains a Landsbanki subsiduary.

Not sure if the last bit makes a difference.

I imagine that the administrator is using that to bash the icelandic goverment with as we speak. Administration doen't mean take over, or sale. I think the bank still has call on it's parents to guarentee it's assets until or unless it is sold or wound up.

NB Please could can you send me the terms as a Private Meassae. I can't find my copy.

ianmr65

Just sent this to the administrator via the Landsbanki gurnsey e-mail address...

===================================================
Dear Mr Garrard

I appreciate you must be extremely busy, but I wonder of you could answer this point on the FAQ’s on the website.

Is the administrator working to sell the bank as a going concern?

Many Thanks

xxxxxxxxxxxx – A concerned depositor.

NB You may be interested in the following thread on www.moneysavingexpert.com ‘s forums :
http://forums.moneysavingexpert.com/showthread.html?p=14813427&posted=1#post14813427

gomann

http://www.thisisjersey.com/2008/10/08/how-islanders-cash-is-being-protected/

‘There are two separate proposals,’ the statement released by Senator Walker said. ‘One is an immediate guarantee that subject to the final approval of the States, residents’ deposits will be fully protected. This is protection of the deposits of Jersey residents should they face any loss if a bank with a branch or subsidiary in Jersey is not supported by its home country and is therefore unable to repay deposits in full. It is not expected that this eventuality will ever arise.

The other is to take a deposit compensation scheme to the States for agreement, details of which are being developed in consultation with the finance industry and other stakeholders.’

My bold above, of course ... and I'm not sure whether that makes me feel better or not. Jersey smugly says "We only allow the top 500 banks to operate here " Hmmm, that will be RBS, amongst others I've never heard of? Sadly, our multi-millionaire Chief Minister has [IMO] a tenuous grasp of what actually affects real people, like "pensioner05" in Guernsey.

redbajan

As KSF IOM isn't a UK subsiduary it would appear to be different from BB IOM accounts which were kept whole by the UK gov't. I stand to be corrected on all of this as I'm just shooting in the dark.

If this is the case I would assume that the fact that the relationship between KSF IOM and KSF UK was a virtual subsiduary is the best hope of invoking the UK gov'ts good will.

Failing that is there anything to stop the IOM gov't seizing and sell KSF IOM as the UK Gov't did (apart from the lack of financial muscle to back it up). Are there likely to be significant KSF IOM assets within reach (UK or IOM)?

redbajan

Second point does this spell the end for the off-shore banks on IOM, Jersey Guernsey. I for one will empty my other off-shore accounts down to the compensation levels (zero in some cases) unless this is resolved satisfactorily by the weekend.

Or do we collectively have short memories and return in a few years time.

occamsrazor

redbajan wrote: »

Second point does this spell the end for the off-shore banks on IOM, Jersey Guernsey. I for one will empty my other off-shore accounts down to the compensation levels (zero in some cases) unless this is resolved satisfactorily by the weekend.

It's a good point... the current crisis has put depositor protection to the fore. Remember though for expats/non-residents it's virtually impossible to open UK-based accounts these days, leaving them with very few places to go for save savings....