Santander safe? Worth pulling fund out while still can?

Allanbreck

notahopeinhell wrote: »

I've heard a couple of experts on the radio in the last few days saying that Santander UK is pretty safe and has less exposure to foreign debt than many other "British" banks.

One said that the parent company in Spain could not draw funds from the UK operation other than profits and certainly not investors deposits, other than if the executives want to get themselves arrested!

The backstop is the FSA scheme which if you qualify is supposed to protect us.

I have money in a Santander ISA and am not planning to withdraw it. Having listened to them I am slightly more confident than I was a few days ago.

I had close to the top limit for compensation in Santander and decided to move some money as a safeguard for shorterm use as compensation takes quite a time to settle. I had five days of stalling online by the bank with all sorts of excuses including my security level. They sent the wrong texts and the wrong amounts on OTP texts and other errors. I transferred almost all my money today to three other banks. I did this at a branch using my passport and other measures as ID. It took an hour but I am happier now. Not because I feel the bank will fail but because their systems are very poor and their helpline people obstructive. I feel they were trying to stop my money leaving their bank because of a run on the bank.

Greenback_2

I have a business account with Santander and would like to know if that would be covered by the £85k compensation scheme, or is this just restricted to personal savings?

dunstonh

Worth pulling fund out while still can?

Is it a fund or is it a deposit?

srcandas

Reaper wrote: »

No, there was a rumour of a run on Spanish bank Bankia (not Santander) which caused a sharp drop in its share price. The rumours were denied and the markets seem satisfied they were indeed false as the share price has fully recovered.

While if you are under £85000 I don't see a problem with Santander UK it is worth noting that many Spaniards are very concerned about Bankia (including my Spanish family), and its share price, if that was the price you were referring to, has only recovered in the sense of a dead cat bounce on Friday. It still sits at less than 50% of its January price. And we are still awaiting an honest valuation of its real estate

But as I say I'm not worried about Santander UK but there may be readers with deposits in the Cajas that make up Bankia.

SantEmp

I'm lead to believe that Santander UK couldn't send money to Banco Santander even if they wanted to, the FSA would tell them where to go sharpish.

Even if the worst came to the worst you're covered for £85k each plus a further £50k each in investment products. Don't worry too much, Santander will look to be in a rosy position when the ratings for the other UK banks (currently still under review) will be released soon.

jimjames

Allanbreck wrote: »

I had close to the top limit for compensation in Santander and decided to move some money as a safeguard for shorterm use as compensation takes quite a time to settle. I had five days of stalling online by the bank with all sorts of excuses including my security level. They sent the wrong texts and the wrong amounts on OTP texts and other errors. I transferred almost all my money today to three other banks. I did this at a branch using my passport and other measures as ID. It took an hour but I am happier now. Not because I feel the bank will fail but because their systems are very poor and their helpline people obstructive. I feel they were trying to stop my money leaving their bank because of a run on the bank.

If you read the threads about Santander you'll find that it is their general admin level and not anything specific to stopping you getting your money.

Move money if it makes you feel happier but under £85k is totally protected. The OP still hasn't come back to explain how he lost money in a Uk Icelandic bank account that has been covered by the compensation scheme which makes it seem unlikely to be true.

Glen_Clark

jimjames wrote: »

If you read the threads about Santander you'll find that it is their general admin level and not anything specific to stopping you getting your money.

Agreed. When you begin to understand how complex and problematic it is to integrate such a variety of different systems and staff into one, (Bradford & Bingley, Alliance & Leicester, Santander, etc) its not surprising there are glitches.