Bank of Cyprus UK

64+

I am looking to invest in Fixed term Bonds in the Bank of Cyprus UK.
I know it is backed by the FSCS should the bank fail.
I have seen that the Cypriot government can not tax savings if UK savers. but this was dated 2013.


Are UK savers, safe investing in this bank.

Ifts

I've got a Fixed Rate Bond with Bank of Cyprus UK - no worries as it's a member of the FSCS.

I also use/recommend Close Brothers Savings and Paragon Bank (both are members of the FSCS) - who are offering slightly better rates on Fixed Rate Bonds:

http://moneyfacts.co.uk/savings/fixed-rate-bonds/

Dan83

I have £15,000 in a bond with them, never had a problem

64+

Thanks to Ifts and Dan83
I've been mulling this over, 99% sure, but that 1% of uncertainty.

bigfreddiel

Don't even think of it

Cyprus is a basket case financially.

Remember Iceland, no not the shop, the country!

And people will say it's covered by the FSCS, I say rules can change and you can do nothing about it

Cheers fj

Ballard

I didn't think that bonds were covered by the FSCS scheme but I'm willing to be corrected on this.

Edit: I can see that corporate bonds aren't protected but this suggests to me that bank issued bonds are so it looks as though I was wrong... probably:

Are corporate bonds covered?

http://www.fscs.org.uk/what-we-cover/questions-and-answers/qas-about-investments/#question15


Corporate bonds, as the phrase is most usually understood, are classed as a type of ‘investment’, but because they are issued by commercial firms which are not authorised by the FCA or the PRA, any losses incurred by the failure of the bond would not be protected by the FSCS. However, if a claim were to be made against an IFA that FSCS has declared in default, for the advice and/or arrangement of the investment, FSCS may be able to pay compensation.

colsten

The bonds Bank of Cyprus offers to retail customers are just normal fixed term savings accounts, and therefore covered by FSCS up to £75K.

Lots of people are still calling those fixed term savings accounts bonds. Not to be confused with corporate bonds which are investments (in the form of loans to companies), not savings.

Ballard

colsten wrote: »

The bonds Bank of Cyprus offers to retail customers are just normal fixed term savings accounts, and therefore covered by FSCS up to £75K.

Lots of people are still calling those fixed term savings accounts bonds. Not to be confused with corporate bonds which are investments (in the form of loans to companies), not savings.

Oh okay. For me a bond isn't an account but that's just a consequence of settling bonds at work.