Is Santander Safe ?

swift1_2

gadgetmind wrote: »

I'm going the other way, and I'm moving cash into equities.

My risks are short term and yours medium/long term, but there are always risks.

I've also got some cash ready to buy equities (I do share/cfd trading) covering my bases - but are the brokers safe? MF Global went to the wall - how safe are the brokers that hold your shares in the nominee accounts - unless you buy paper certificates which isn't very practical.

MarcoM

Swift, I would like to take some cash out of the bank but leaving it at home means it is at risk if there is a burglary. Any other ideas?

nilrem_2

swift1 wrote: »

This is why I've started to take substantial cash out of my bank and store it a safe deposit box. I maybe losing out on interest and inflation. But at least my capital is safe. I'll wait till this credit crisis blows over or we are out of the woods.

When the crap hits the fan, the man on the street is going to be the last one to know - and like you say the banks won't give you your money as they've lent it out 20 times over!

Alistair Darling himself now says that they were hours away from closing the cash machines in 2008! - He didn't tell us that at the time! We are now back in the same situation only much much worse!

You really think the FSCS will be able to give everyone their money back!

And you really think that if things were to get so bad that the FSCS cannot refund all the money; that your cash in your safe deposit box would still be worth anything?

In the event of a major collapse such as you envisage your money would be just worthless paper!

I just hope no one is silly enough to follow your example TBH! :eek:

gadgetmind

swift1 wrote: »

how safe are the brokers that hold your shares in the nominee accounts

Very safe IMO, but maybe keep less than a certain amount (£50k? £100k?) per platform if you're paranoid.

swift1_2

nilrem wrote: »

And you really think that if things were to get so bad that the FSCS cannot refund all the money; that your cash in your safe deposit box would still be worth anything?

In the event of a major collapse such as you envisage your money would be just worthless paper!

I just hope no one is silly enough to follow your example TBH! :eek:

Each to their own, if you wish to be silly enough to simply have a few notes in your wallet, when the cashpoints shut and all your cards stop working and cash becomes king and you have no money left to buy bread, thats your choice. Where we end up and what is going to happen is unknown, the scenario you paint is the endgame, there could be many different outcomes in between.

What could may well happen when the crisis hits, that banks and cashpoints close temporarily for a few days or weeks till the politicians etc sort out the mess, in the mean time cash becomes king.

I have investments in several different asset classes, cash is simply one of them as is gold. This is simply a temporary move till the crisis blows over.

If you fail to plan, then plan to fail.

The reason we put money into banks is because they are supposed to be the safest place for our money. If we no longer have the confidence in the banks, then we are perfectly entitled to take our money out.

nilrem_2

swift1 wrote: »

Each to their own, if you wish to be silly enough to simply have a few notes in your wallet, when the cashpoints shut and all your cards stop working and cash becomes king and you have no money left to buy bread, thats your choice.

Ah, But that is not the same as what you said! You actually said

This is why I've started to take substantial cash out of my bank and store it a safe deposit box

Most of us have some cash available but you are (were) talking of taking Substantial amounts out for safekeeping!

If the banks go down all cash will be worthless, now had you said you were taking your cash out and stockpiling tins of food that would make more sense!

oldvicar

In my local supermarket last week the card system went down, and they would only take cash for a little while. Makes you realise how much we depend on a working banking system. Makes me think I ought to keep enough cash for a few weeks expenditure just in case of the banks being closed for a little while. Even if the cash machines don't run dry, it would be easier not to have to queue all day in the event of irrational panic setting in.

kostigovs

Starship9 wrote: »

How safe is Santander ?

I'd got around £50K tied up in that bank - I think I'm covered by the UK's protection scheme though.

Should I be worried at the moment :question:

Thanks.

Why are you having doubts? Is there any other bank or building society with which you would feel more comfortable and if so why?

nilrem_2

kostigovs wrote: »

Why are you having doubts? Is there any other bank or building society with which you would feel more comfortable and if so why?

IMHO people are getting worried because of all the 'doom' rhetoric being spouted every day by various people inc many TV presenters and some politicians. It's no wonder ordinary folk are concerned hearing all the "we are heading for the big one" talk!

swift1_2

Nilrem,

I think your clutching at straws trying to find contradictions in my statement when there aren't any. I have taken out substantial amount of cash. No one knows how the crisis is going to unfold, you seem to have a very binary view on the crisis. Sterling is not in danger, the euro is. The euro collapse could take down the banks, the euro countries will have to resort back to their own currencies. UK gilts are in record demand for a reason, they think sterling is safe and trustworthy. If the banks go down it doesn't mean the bank of England goes down.

If you want to behave like an ostrich and bury your head in the sand, then be my guest.

I do hope when the eurocrats meet this friday they do manage to sort out this mess.