After NR, in comparison how safe are ICICI and Icesave?

dwileflunker

I have my money spread between a number of accounts, including NR, and of these I have money in Icesave and ICICI amongst others. In comparison to NR how safe do people think ICICI and Icesave are? Are they exposed to the same problems as NR? As I have less than £35K (just) with NR I'm happy to bat the crisis out and all my other investements are below £35K per institution, so I should be covered by the protection scheme in each case, but it is still concerning to know how safe my money is. Any comments would be appreciated.

nilrem_2

dwileflunker wrote: »

I have my money spread between a number of accounts, including NR, and of these I have money in Icesave and ICICI amongst others. In comparison to NR how safe do people think ICICI and Icesave are? Are they exposed to the same problems as NR? As I have less than £35K (just) with NR I'm happy to bat the crisis out and all my other investements are below £35K per institution, so I should be covered by the protection scheme in each case, but it is still concerning to know how safe my money is. Any comments would be appreciated.

I don't know about ICICI but AFAIAA Icesave is 'awash' with cash!:)

calisto

You will still lose £3300 if NR go under. Luckily for you Moral Hazard has been given the green light by the BoE being forced to bail out NR for political reasons so no chance of that. Gordon needs to win the next election before his miracle economy is shown for what it is - bankrupt.

However, the politicians know the news reports pictured with lines of old pensioners trying to get their savings from a high street branch are extremely damaging to them. Which is why they insist that "no high street depositor has any reason to worry, as the BoE is underwriting everything"

ICICI and IceSave are not "high street" and are Internet Banking - so no juicy news reporting showing huge queues in the streets doing a bank run.

Just like all the NR Internet savers are being shafted now by a deliberate lockout page preventhing them access to their accounts. Nobody sees this on the news - they all believe its down to server overload. LOL!

Yeah right. I've already found the internet banking page hidden behind the lockout page and it works perfectly.

Very poor damage limitation indeed, and a fraud even.

old_fogey_3

As an investor for over 60 years may I make a couple of comments? It is a basic principle of good investment that the level of return should be related to the level of risk involved. If you consider that N.R. is no more risky than others of that type all is fine. If you think it to be more risky is the reward greater?
Secondly and more importantly, are you a gambler or an investor? If a gambler all is O.K. If and investor does your investment cause you to worry? If so that investment is not suitable to your temperament.

isofa

Hmmm, but bank and building societies should be safe and it's not at all the same as evaluating risk with stocks and shares investments.

Let's face it, cash accounts are not high-medium-or even low risk investments, they should be 100% safe, zero risk investments. You don't choose one BS account over another due to risk factors, you choose it due to interest levels, service, access, etc.

People don't put money into banks and BS accounts to gamble!

dwileflunker

isofa wrote: »

Hmmm, but bank and building societies should be safe and it's not at all the same as evaluating risk with stocks and shares investments.

Let's face it, cash accounts are not high-medium-or even low risk investments, they should be 100% safe, zero risk investments. You don't choose one BS account over another due to risk factors, you choose it due to interest levels, service, access, etc.

People don't put money into banks and BS accounts to gamble!

My sentiments entirely. Most people don't have the knowledge or time to determine how secure a high street bank is. Their savings accounts are recommended by IFA's and pundits alike as safe havens for your cash. My original question was in comparison to NR how safe or otherwise are the Icesave and Icici savings? Do these companies have the same exposure that NR have?

dwileflunker

calisto wrote: »

You will still lose £3300 if NR go under. Luckily for you Moral Hazard has been given the green light by the BoE being forced to bail out NR for political reasons so no chance of that. Gordon needs to win the next election before his miracle economy is shown for what it is - bankrupt.

However, the politicians know the news reports pictured with lines of old pensioners trying to get their savings from a high street branch are extremely damaging to them. Which is why they insist that "no high street depositor has any reason to worry, as the BoE is underwriting everything"

ICICI and IceSave are not "high street" and are Internet Banking - so no juicy news reporting showing huge queues in the streets doing a bank run.

Just like all the NR Internet savers are being shafted now by a deliberate lockout page preventhing them access to their accounts. Nobody sees this on the news - they all believe its down to server overload. LOL!

Yeah right. I've already found the internet banking page hidden behind the lockout page and it works perfectly.

Very poor damage limitation indeed, and a fraud even.

I'm no computer expert so I can't comment on the lockout page (my NR account is branch based) but I assume if NR can do it so can all the other internet banks. If you know a way round it then it might be helpful to others who are having problems to post details of how they can overcome the lockout.

dwileflunker

old_fogey wrote: »

As an investor for over 60 years may I make a couple of comments? It is a basic principle of good investment that the level of return should be related to the level of risk involved. If you consider that N.R. is no more risky than others of that type all is fine. If you think it to be more risky is the reward greater?
Secondly and more importantly, are you a gambler or an investor? If a gambler all is O.K. If and investor does your investment cause you to worry? If so that investment is not suitable to your temperament.

I think the point here is that nobody would consider deposits in a previously reputable high street bank as gambling. Joe public hasn't the knowledge to determine which bank is more secure than another. I could have got a higher rate elsewhere but I have been a loyal customer for many years and was prepared to accept a slightly lower interest rate for what had previously been excellent service. If a high street savings account is not suitable, what is? Cash under the mattress?

dwileflunker

dwileflunker wrote: »

I'm no computer expert so I can't comment on the lockout page (my NR account is branch based) but I assume if NR can do it so can all the other internet banks. If you know a way round it then it might be helpful to others who are having problems to post details of how they can overcome the lockout.

Apologies calisto, I've just seen your post showing how to overcome lockout. Well done.

poppy10_2

Companies like Icesave which have lots of money on deposit are safe and are actually in high demand in financial circles, as they have they money to be able to lend to other banks.

it's companies like Northern Rock, who were lending out huge quantities of money in mortgages without actually having much cash in hand in the form of deposits, that are really suffering at the moment.

That includes, Bradford+Bingley, Alliance+Leicester, Yorkshire building society and Derbyshire BS.

chris1

poppy10 wrote: »

Companies like Icesave which have lots of money on deposit are safe and are actually in high demand in financial circles, as they have they money to be able to lend to other banks.

it's companies like Northern Rock, who were lending out huge quantities of money in mortgages without actually having much cash in hand in the form of deposits, that are really suffering at the moment.

That includes, Bradford+Bingley, Alliance+Leicester, Yorkshire building society and Derbyshire BS.

Thanks for that useful information - but how do you know that?