why is it so hard

dboswell

Masomnia wrote: »

The ratings agencies are: Moody's, Standard and Poor's, and Fitch. Google them, they're pretty high up. You have to register to access the data though, I was going to find them for you but I can't be bothered registering, sorry.

thanks. i am registered with 2 of them. been checking some of the ratings this week and also via thisismoney, where some of the fitch are posted in an article.

http://www.thisismoney.co.uk/savings-and-banking/bank-strength/article.html?in_article_id=453074&in_page_id=53948

ManAtHome

Still not sure what the deal is - FSCS covers up to £50k (£100k joint) - spread any "instantly" needed cash across 3 or 4 and the rest in 40k chunks...

Ratings only really work (some of the time - research Lehmans ratings) if you put everything in instant access accounts and monitor them daily - sounds like hard work to me.

dboswell

ManAtHome wrote: »

Still not sure what the deal is - FSCS covers up to £50k (£100k joint) - spread any "instantly" needed cash across 3 or 4 and the rest in 40k chunks...

Ratings only really work (some of the time - research Lehmans ratings) if you put everything in instant access accounts and monitor them daily - sounds like hard work to me.

good advice. the concern is that should an institution go down the time it takes to regain access to funds. so far this hasnt been an issue apart from the icelandic banks. for some this could cause real hardship. I have been a member of the chelsea bs since 1977. I am concerned about its bad loans made 2006-08.

when the bank of england plays matchmaker as with the catholic, dunfermline, derbyshire and cheshire or even when it calls them in to chat about their solvency as possibly it did with the west brom do you know what the bank of england looked at obviously apart from the balance sheet?

i dont think we can discount more write downs/offs from residential, commercial or even personal loans.

jamesd

From next year the plan is that the FSCS will pay out within a week. There's been an ongoing project to arrange bank and other systems so that this can happen.

MarkyMarkD

It's all rather academic, because there's no reason for the FSCS to actually do the payouts. That is what has been clearly realised after the Icelandic debacle.

It is far more sensible - for all concerned - for the retail funds to be transferred to another willing party, who then effectively takes over the administration of the accounts and can deal with any withdrawals as and when the funds are actually required.

Forcing an organisation into the hands of the FSCS as occurred with the Icelandic banks, and requiring claims against the FSCS, is an inefficient way of doing it.

I do not believe that the same would occur again. So I don't think that the OP's concerns about delays in accessing money are warranted.

Having said all that, the obvious answer is to spread any money you may require urgently and not to put all your eggs in one basket, if you are worried (even though I consider it unnecessary).