MSE News: Safe savings limit to fall by £10,000 to £75,000 from January 2016

TheTracker · 24 July 2015 at 5:24PM

cannonballdaze wrote: »

Did they think this through ?

When you take out an account with a bank they provide Terms and Conditions that discuss and reference the Financial Services Compensation Scheme and the therein the compensation limits that apply in accordance with European Deposit Guarantee Schemes Directive. That directive explains the rebalancing of the thresholds quinquennially.

In theory anyone putting money in those accounts for terms that span the quinquennial should be careful as to the potential negative consequence of that rebalancing. They did think it through, but you didn't. In practice, few customers were aware, and the communications about the changes were woeful. The industry could have done much better.

cannonballdaze · 25 July 2015 at 4:06PM

colsten wrote: »

You can open as many ISAs as you like, and transfer part of your cash ISA. Only thing you cannot do is pay new money into more than one cash ISA in the same tax year.

In case you don't know, you must ask the new provider to make the transfer.

Thanks,

I'll move some of it by January.

Joe

Rolnagraten · 25 July 2015 at 4:11PM

So this is basically a clear indication the banks are going to go bust again.

A greater incentive for the bankers to go bust on top of the fact the debts automatically are transfer to the state an hence on to the poorest via benefit cuts.

They will how veer be allowed to hang onto any 'profits' they made during the course of the Ponzi scheme.

grey_gym_sock · 25 July 2015 at 4:42PM

banks going bust again (with an associated wealth transfer from the poor to the rich) remains a danger. i don't think this cut in the FSCS limit makes any difference to that. when a bank is "TBTF" and gets bailed out, the FSCS doesn't come in play, because the bailout makes it unnecessary.