Exceeding the £50k limit

Baldur

kostigovs wrote: »

I think if you trawl the FSA website you may find mention of the discussions surrounding a further increase

I'm well aware of that - just setting your post in the correct historical perspective.

p00hsticks

juicyjude wrote: »

Perhaps they should just increase the figure of 50K.

In my opinion it would be foolhardy of them to increase it unless and until they were confirdent that they could actually meet their obligations if they had to. My understanding is that in reality, if a major bank (as opposed to a bit player like Icesave etc) went under and took everyones savings with it then there simply wouldn't be the money available to pay uot to everyone - and the effort woudl likely bring other banks down too ....

luvpump

juicyjude wrote: »

Having spent most of last summer worrying and not sleeping due to the iminent collapse of Bradford and Bingley in which if the worst happened I would lose a lot of money I just could not go through that again. OK it came good, but I did not have a crystal ball then. It all depends what you feel comfortable with.

I agree to an extent as i also stressed a lot when icesave went under having 14k, but IMO the chance of a u.k bank going bust & the Government NOT stepping in, is pretty much zero, 50k to a lot of people is no great ammount, pro sportsmen & some directors can get this every month or even every week, are they or there accountants worried ? I doubt it !

If it came to a point where a major Bank collapsed now & the Government was unable to meet its commitments then in effect u.k plc would collapse aswell & there would be riots on the streets ..

D1zzy

Maybe the new NS & I Growth bonds - 1 year @ 3.95%, 2 year @ 4.25% with govt backing - are the answer for now

kostigovs

Baldur wrote: »

I'm well aware of that - just setting your post in the correct historical perspective.

Sorry i spoke

Baldur

It wasn't meant to come across like that - merely pointing out that discussions about raising the £50,000 limit couldn't have taken place at a time when that limit didn't exist.

It wasn't increased from £35,000 until 7th October 2008, long after Northern Rock had been 'nationalised'.

juicyjude

Yes Kostigovs, indeed it was, I think that has long been forgotten. It would give a lot of people peace of mind and perhaps bring about a bit more confidence, which is what is still lacking these days. Got to agree with your posts

del1001

Personally I would not go over the 50k limit in any bank, UK or otherwise, never again, not ever!

Having been an ex-icesaver I considered myself very fortunate to get all my money back after many sleepless nights.

Once bitten twice shy!

juicyjude

Many people, me included, would agree with your post del1001. I would rather have lower interest and sleep well at night. Like I said previously, it all depends on individual attitudes of "comfortableness" with regard to the 50K limit