Egg (Citigroup)

frames1_uk

Just read this on bbc news http://news.bbc.co.uk/1/hi/business/7741463.stm

so now I'm wondering should I be withdrawing my funds from Egg, I don't want to be in the same position I was with Icesave.

Any thoughts?

Andrew64

I think Citibank really is to big to fail! The US government would bail it out. However, there is talk about Citibank selling assets and Egg could be one. So, at worst, you may just find that Egg is transferred to another bank.

Mr_K

Citigroup are the biggest bank in the world. The US govt. won't let if fall, otherwise we'd all be done for. Even if it did fail the UK govt. will cover you for up to 50k. I'm very comfortable with my fixed 6.3% Egg savings account but I won't be investing more than 50k (just in case !).

frames1_uk

Thanks for your replies. I also have the 6.3 fixed account, and was hoping to use it to put away any surplus cash I have throughout the next 11 months.

Paul_Herring

I don't want to be in the same position I was with Icesave.

It could be just me, but I failed to see any mention of "passport scheme" or "top-up scheme" in that article.

fullstop

Had a look and they are covered by the FSA and FOS up to the £50.000 limit.

halight

Hi Just to let you all know egg have a call center by were i live. and over the past few months have been cutting jobs.
I dont think citi bank will fail. but egg stands a good chance of being sold off.
So wait and see what happens if you dont llike the new owners then you can always move your account then

All the best

Megalomaniac

Sell it back to the Pru

Lynt_3

My heart skipped a beat when I read the thread title.

I've been away from tv/radio all day, so haven't heard any news today. Came straight on here, as I figured if anything interesting had happened, you guys would know about it.

In the next couple of weeks I was going to top up my 6.3% fixed account. I guess I might just as well go ahead??
Scary times :eek:

Broadback

If banks continue to fail at what point will the FSA no longer be able to pay compensation? After all they get the money from banks that are in the scheme. When all the Iceland banks had trouble their system no longer worked. The same may become true of Ireland if their banks continue to falter.
Even the USA does not have a bottomless purse, one of their think tanks believes that after the dust has settled the USA will no longer be the biggest boy in the school yard. As regards deflation when no one buys goods then no one is selling, companies closing, layoffs, more taxes to pay for more unemployment. The £ may be worth mores but there will be less in our pockets, that is for sure.

Lynt_3

http://www.nytimes.com/2008/11/21/business/21finance.html?em

Shouldn't we be putting more money in rather than less??? :eek:

I'm trying to stay calm, but not succeeding very well.