Very worrying stop press news re Anglo Irish

Taylor55

gozomark wrote: »

yes, the UK isn't in the Eurozone

Does anyone know if the £50K compensation would be paid to a British Citizen living abroad (in EU), or would they be exempt?

gozomark

AFAIK it applies to any nationality, and no matter where they live

WD40

Hi,

Considering there's little consensus within this discussion regarding AI's stability, I realise my question is akin to 'how long's a piece of string' - and taking into account the interest rate decrease today, the decision is complicated more.

Last week, I advised my ageing mother to invest her nest-egg (£85K) into an AI fixed term bond @ 4.7 AER. She sent the cheque, but as of a few hours ago, AI hadn't banked it...

Am I irresponsible not to tell my mother to cancel the cheque? If she distributes the cash elsewhere she'll get half the rate (she's in England), but at least it's safe... At this moment, she's blissfully ignorant and thinks all is well...she isn't worried as she read the £95K guarantee in the application and doesn't suspect anything's wrong. I'm feeling very guilty... I don't want to worry her - I'd rather make a decision and act pronto.

Many thanks for any suggestions in advance.

gozomark

given the exchange rate, the guarantees only worth 85K now.

look, there is no middle ground - either everything turns out OK, and she earns a great rate of interest, or it doesn't. The latter has a probability in my mind of less than 1 in a 10000 (ie 1. Ireland defaults plus UK doesn't compensate), so a risk I'm prepared to take

melbury

Are Anglo Irish still letting people draw money out of fixed rate bonds penalty free? The article that was in The Times seems to have vanished into thin air!

Midnight_Cowboy_2

melbury wrote: »

Are Anglo Irish still letting people draw money out of fixed rate bonds penalty free? The article that was in The Times seems to have vanished into thin air!

You mean the Irish Times one, or the UK one? The UK one is still at http://www.timesonline.co.uk/tol/money/savings/article5626471.ece

joemardo1

melbury wrote: »

Are Anglo Irish still letting people draw money out of fixed rate bonds penalty free? The article that was in The Times seems to have vanished into thin air!

No they won't give you the money penalty free. I have tried to break my one year bond which has only over 1 mth to run. The 2 anglo irish customers reps that I spoke to were only too willing to quote the banks terms and contitions to me. I then asked to get speaking to a manager who stated that it is on an individual case that they will review requests to break a bond term usually in the case of an emergency. He then went on to say that all the commotion surrounding anglo irish is just a lot of press hype and anglo irish is a very stable bank and quoted the amount of profit it had made.

I then mentioned to him about what it says on the forums here as regards taking out money penalty free and if it was ok if I informed the other posters here of anglo's stance and his reply was "I wouldn't reccomend you to do that"

in a mths time I will withdraw the money from them, have resinged myself to earning little or no interest because rates are so low.

Joe

melbury

I thought I read somewhere that Anglo Irish Bank were allowing UK customers to withdraw from fixed rate bonds penalty free, if they invested purely because they understood that Anglo Irish Bank were covered under the UK compensation scheme, which is what I did.

melbury

Found this today, what do you think?

http://www.guardian.co.uk/world/2009/jan/11/ireland-economy-world-news

masonic

melbury wrote: »

I thought I read somewhere that Anglo Irish Bank were allowing UK customers to withdraw from fixed rate bonds penalty free, if they invested purely because they understood that Anglo Irish Bank were covered under the UK compensation scheme, which is what I did.

I read two articles covering this. Neither mentioned that withdrawals were penalty free. There was, however, an assumption put forward here that they might be penalty free because it was assumed that Anglo has conceded a breach of T&Cs. That may not be the case. They might be allowing withdrawals under relaxed criteria, while still maintaining the penalty.