Would you risk > £50K in a a savings account?

claire07

I resurrected this thread as I posted earlier about being tempted to go over 50k in a Bank of Scotland reward account at 4.64 net till November. I have got several bonds maturing end of March and am not too impressed with the rates I'm offered. Several of you were also leaning to go over 50k in BoS or Halifax Reward accounts. Now the govt has taken over a large chunk of Lloyds has that made any difference to what people decided?

oldfella

relatively minor gain for possibly huge risk - not worth worrying over

soulsaver

claire07 wrote: »

I resurrected this thread as I posted earlier about being tempted to go over 50k in a Bank of Scotland reward account at 4.64 net till November. I have got several bonds maturing end of March and am not too impressed with the rates I'm offered. Several of you were also leaning to go over 50k in BoS or Halifax Reward accounts. Now the govt has taken over a large chunk of Lloyds has that made any difference to what people decided?

Yep I think it's safe, and have gone well over (at 6.00% for me). At worst in the event of things getting that bad, I think we'd get a sense of risk so can make withdrawals. And if other rates continue to improve we'll get to diversify, without penalty. And we're only talking up 'til November.
However unless you are already diversified in other best buys, have you looked at Icici @ 4.00ish, full fscs? If you're not in Icici 0.5% net (0.64 gross) ain't much gain for the worry IMHO...:o

evenasus

soulsaver wrote: »

At worst in the event of things getting that bad, I think we'd get a sense of risk so can make withdrawals.

That's what people thought about Icesave.

I'd love to go over the £50K on my Coventry 6.25% & BOS 5.8% accounts, but...I'd rather get a 'smaller return' than risk a 'huge loss'.
I know people have said the government wouldn't let any saver lose money but...they certainly can't guarantee it.

musehead

I've gone well over the £50k limit on my BOS (Lloyds group) reward account at 6%. I think it's worth the very small risk for the extra 3-4%. This is a fantastic account now, having such a high rate and 4 withdrawals allowed at any time.

castle96

got £30k coming soon and will be bunging it into the Coventry/6.25% taking me to £89k. Just hope to get some warning prior to any probs !

soulsaver

evenasus wrote: »

That's what people thought about Icesave.

I'd love to go over the £50K on my Coventry 6.25% & BOS 5.8% accounts, but...I'd rather get a 'smaller return' than risk a 'huge loss'.
I know people have said the government wouldn't let any saver lose money but...they certainly can't guarantee it.

Its not what I thought about Icesave,
and Lloyds isn't Icesave,
and England is where we live, and Iceland is a bit more remote.

bendix

I have two seperate sums totally £300,000 with one bank in New Zealand, but the NZ Government has a 100% deposit guarantee scheme in operation.

castle96

I have two seperate sums totally £300,000 with one bank in New Zealand, but the NZ Government has a 100% deposit guarantee scheme in operation.

so has Ireland ! surely that's what this post is all about ?

evenasus

soulsaver wrote: »

At worst in the event of things getting that bad, I think we'd get a sense of risk so can make withdrawals.

There were plenty of posters on this board who thought they could withdraw their savings from Icesave when the news of trouble broke. At least they tried to.
I know that the savers recouped their savings, courtesy of the British tax payer. But no-one can guarantee that that would happen again.