Alistair Darling - Don't be fooled

Steve_xx

Alistair Darlings assurance on deposits is given in light of the "current" market turmoil. He did not put a timer on his assurance, except to say that it is valid during the "current" market turmoil. Therefore the assurance could end at any unspecified point. Therefore it is prudent for people to reduce their deposits in any single banking institution to £33k, thus allowing for interest to accrue bringing this amout to £35k within a year.


"The simple fact is that the chancellor has made it clear that all existing deposits in Northern Rock are fully backed by the Bank of England and are totally secure during the current instability in the financial markets,"

dwsjarcmcd

Comes under the heading of can't do right for doing wrong, for me

[Deleted User]

Im not fooled as the governemtn shouldnt be so stupid as to issue blank cheques to the banks.

However this should quash the runs... remains to be seen though

Old_Slaphead

Pity they didn't do the same with Equitable Life. Told everybody to stay calm but couldn't wait to get their own money out asap!!! Only the mugs stayed in.

Steve_xx

dwsjarcmcd wrote: »

Comes under the heading of can't do right for doing wrong, for me

Let me enlighten you. He did right in offering assurancce to depositors. But cleverly avoided offering that assurance indefinitely. The end result is, that you cannnot be sure.

dwsjarcmcd

Steve_xx wrote: »

Let me enlighten you. He did right in offering assurancce to depositors. But cleverly avoided offering that assurance indefinitely. The end result is, that you cannnot be sure.

I don't need enlightened thank you. The fact is that people's money is safer today than it was yesterday. What would you say if they had done nothing, been happy then?

How can anyone give an infinite guarentee, the markets will return to normal, whatever, that looks like someday. He has also not said, that the guarentee is only for 1 week/month. As I said, in my view he can't do right for doing wrong

alared

If I had any money in NR,A&L,B&B,I`d move it despite what the government or anyone else says.

Steve_xx

dwsjarcmcd wrote: »

I don't need enlightened thank you. The fact is that people's money is safer today than it was yesterday. What would you say if they had done nothing, been happy then?

How can anyone give an infinite guarentee, the markets will return to normal, whatever, that looks like someday. He has also not said, that the guarentee is only for 1 week/month. As I said, in my view he can't do right for doing wrong

You mean enlightening and not "enlightened", and you mean guarantee, not "guarentee".

I think I've already stated that the guarantee is not infinite. I accept your view that he can't do right for doing wrong, but I do not share it.

I did not say how anyone could give an infinite guarantee. What I did say was the this guarantee was not infinite.

Steve_xx

Infinite, ie without limit.

[Deleted User]

The run on NRK appears to be continuing...

Steve_xx

Yant1 wrote: »

The run on NRK appears to be continuing...

Yes it's a shame really. This may cause its collapse. But I don't blame those with deposits in excess of £33k moving the excess elsewhere. I think they're right to do that.