Very worrying stop press news re Anglo Irish

bendipa

melbury wrote: »

Well I consider it an emergency that my savings are at risk. As previously mentioned, I opened the account with them safe in the knowledge that it was backed the the UK compensation scheme. Surely the fact that this has changed should be good enough reason to be able to withdraw the funds.

ANG was never backed by the UK compensation scheme, but by the Irish compensation scheme. Now all ANG savings are fully backed by the Irish government.since it was nationalised. The compensation scheme no longer applies It's savings are safer than the other Irish banks for the moment. There's no 2 year limit applicable for a start. Brian Lenihan, the Irish Finance minister has publicly pledged no depositor will lose their savings. It doesn't matter if you are not Irish. If you think the Irish government will go bust and default on its debt, then by all means panic. Not even Iceland went bust and defaulted on its debt as it was bailed out by the IMF, last October.

Do you still believe Ireland will be the first western country and first EU state that will be allowed to go bust and made an example of? Do you realise the repercussions for the EU alone if that happened? It's still a possibility of course, but political fall-out and economic instability within the EU I believe would be too high a price to pay.

melbury

Anglo Irish Bank was definitely backed the UK compensation scheme - I know because I checked thoroughly - which is why I deposited money with them. They came out of it a few months ago due to their own compensation scheme being higher.

Having listened to the news last night about the state of the UK economy, don't think Ireland can be any worse.

Have decided that I am being stupid and paranoid and behaviour like that is what causes these mass panics and causes all the problems.

Andrew64

melbury wrote: »

Have decided that I am being stupid and paranoid and behaviour like that is what causes these mass panics and causes all the problems.

At the end of the day it's your money and you have to decide the safest place for it. You don't have to be sentimental about it as you are not in the happy position of Brown and Darling who can put at risk other people's money rather than their own.

castle96

http://boards.thisismoney.co.uk/tim/threadnonInd.jsp?forum=43&thread=92340&message=375265

others have withdrawn, no problem

Berty

I'm going to say bendipa has the same ideas as me.
I have a one year bond and if I had known the Irish government were going to step in I would have gone for the 2 year bond.
I get very confused over everything thats going on at the moment. I've just seen a small increase in property prices around my local area and that has confused me more.

bendipa

For those of us worried about ANG and the Irish economy in general the best place to keep abreast of what is happening day by day is the excellent Irish Times

masonic

bendipa wrote: »

ANG was never backed by the UK compensation scheme, but by the Irish compensation scheme.

As has been stated above, Anglo was a member of the UK FSCS until November 2008. The UK scheme covered nothing between September and November 2008 because everything was covered by the Irish scheme. Prior to September, the UK scheme topped up the €20,000 offered by the Irish scheme to the prevailing UK limit.

soulsaver

An observation here: I don't agree with peoples view that they were somehow hood winked if they opened their account with AI prior to September 08. The compensation rule is the same now as it was then. The result of that rule being applied has changed the source of compensation funds from part Eire & part UK, to all Eire. So sorry I have no real sympathy for people who blame AI for the application of an EU law which is designed to get the consumer maximum compensation.

However I do admit that AI were pretty slow to change their webby; so if you applied say after October and the site STILL said 'compensation from UK FSCS' then I think you may have a valid basis for a case to withdraw without penalty as they misrepresented their position....:think:

cepheus

soulsaver wrote: »

An observation here: I don't agree with peoples view that they were somehow hood winked if they opened their account with AI prior to September 08. The compensation rule is the same now as it was then. The result of that rule being applied has changed the source of compensation funds frompat Eire & part UK to all eEire. So sorry I have no real sympathy for people who blame AI for the application of an EU law which is designed to get the consumer maximum compensation.

Would you feel the same if the obligations to underwrite your life savings were changed from the UK government to Rumania, Bulgaria or one of the Baltic states (all EU states) without being explicitly told by letter or Email? Bear in mind many people still don't use the internet.

masonic

cepheus wrote: »

Would you feel the same if the obligations to underwrite your life savings were changed from the UK government to Rumania, Bulgaria or one of the Baltic states (all EU states) without being explicitly told by letter or Email? Bear in mind many people still don't use the internet.

If the majority of the obligations were there already, and the proportion of foreign responsibility varied on a daily basis due to currency fluctuations, then it's hard to see how anyone who would be happy with that situation would be so unhappy if the level of foreign cover increased to 100%. Many people would have already have had no cover from the UK because of their savings balance.

On the subject of people not using the internet, remember that those people would also have to not read a newspaper or watch the TV news to avoid hearing about the changes. It was a very big national story when these changes were introduced last September.