Icesave: how safe are your savings? Facts and myths

Dan_66

Just re-read the latest FSCS statement....It sounds like the Officials from HM Treasury are trying to get the Icelandic government to pay out on their obligation (£16,000approx) FIRST-before commiting to using the UK's cash.

I think that with the £8 billion pounds from numerous sources (local government, charities etc) now reportedly trapped in Iceland, Mr Darlings' feet maybe getting cooler!?

The statement also means another week (or more) of playing the waiting game before any 'firm' news is forthcoming....

moneymind

chris_yo wrote: »

This can't possibly be true - it would be trivial to alter the balance amount and print out a statement...

It's true, I have seen "You will need proof of your customer account number and how much money was in your account when the bank collapsed. For this, you will need to log onto Icesave's website – which is still operating, even though the bank has stopped all transactions – and print off your latest balance." around 5pm today. What is going on?

luv_my_brass

"he had put in place arrangements to ensure that no retail depositor would lose any money as a result of the closure of Icesave."


Not sure what 'retail depositor' means.

As the icelandic compensation pot is empty, i am concerned about how much I will get back, as the wording talks about compensation and not about how much we have deposited. Including interest, I have 21k with Icesave in savings and isa's. I wonder how much of that I am likely to get back? Is there a different format for ISA's?

Optimist

luv_my_brass wrote: »

"he had put in place arrangements to ensure that no retail depositor would lose any money as a result of the closure of Icesave."


Not sure what 'retail depositor' means.

As the icelandic compensation pot is empty, i am concerned about how much I will get back, as the wording talks about compensation and not about how much we have deposited. Including interest, I have 21k with Icesave in savings and isa's. I wonder how much of that I am likely to get back? Is there a different format for ISA's?

A retail depositor is someone who isn't using the account for a business

jaigee_2

Just on the BBC News website:

Significant progress has been made over frozen UK investments in failed Icelandic banks, say the Treasury and the Icelandic authorities.
Arrangements have been agreed "in principle" for a quick payout to depositers in Landsbanki's closed internet bank Icesave, they said.
The delegations agreed to work closely on the other remaining issues over the coming days, the statement said.
The delegations met "in a friendly atmosphere in Reykjav!k", it added.
British investors have roughly £4bn in the Icelandic bank.
Although Chancellor Alistair Darling had promised to compensate investors in full, the first £16,000 of a deposit is meant to be guaranteed by the Icelandic authorities.
It is understood Iceland has now agreed in principle to honour this commitment.
A Treasury delegation is in the Icelandic capital to seek assurances UK savers with money in collapsed Icelandic banks will not lose their deposits.
The group wants to establish a claims procedure for British depositors to get their money back as soon as possible.
The UK government is also pressing for the quick return of almost £1bn of funds invested by councils and other public bodies, including charities. The Treasury delegation in Reykjavik includes officials from the Bank of England and the Financial Services Authority.

we_have_been_fooled

Just on the FT:
"Iceland’s prime minister launched a blistering attack on the British government on Sunday night for “bullying a small neighbour”, and said his country might sue the UK over its reaction to Iceland’s banking crisis...."

and

"While Iceland said it would pay Dutch depositors up to €20,887 ($28,342, £16,579) each – its obligation under the Icelandic Depositors’ and Investors’ Guarantee Fund – the British delegation left with a vague agreement “in principle” to speed up the payback of British depositors.`

I start to get worried again.

Sunny_Saver

Dan_66 wrote: »

Firstly credit is due to Brown and Darling for trying to help-

Surely it was partly their fault that we are in this mess in the first place?! They let icesave open here in the UK.

Also don't forget the £50bn government bail-out here in the UK!

born2run

It is being reported that Iceland has said it would pay Dutch depositors the €20,887 each that is its obligation under the Icelandic Depositors’ and Investors’ Guarantee Fund which will be funded by the Dutch government loaning money to Iceland.

In the meantime it is reported that the British delegation talks with Iceland have a vague agreement “in principle” to speed up the payback of British depositors and talks will continue over the next few days although at the moment it appears that there is nothing concrete about how the details are going to be resolved.

The Dutch govt appear to have acted very speedily on behalf of their citizens who have deposited in Icesave - we can only hope that ours acts similarly and that we are not forced to wait for an excessively long period of time before we get our money back!

I am of course very grateful that our deposits have been guaranteed by HMG my primary concern now is what timescales we are talking about.

luv_my_brass

Yes, I read that ING had bought up Kauptthink Edge, wish they had bought up Icesave too :-( I have a savings account with ING, and I'm hoping they are as strong a company as they make themselves out to be, The result of all this is that I do not know who to trust with my precious savings :-(

born2run

My post is not referring to ING's acquisition of Kaupthings deposits. What I'm talking about is that it is being reported that last Saturday night the Dutch government secured assurance from the Iceland govt that they would honour their committment to compensate roughly 108,000 Dutch Icesave depositors. To do this the Dutch will loan Iceland the money - although I have no detail this sounds like it's a good way for Dutch depositors to get their money back quickly whilst loans and repayments are sorted out at government level.

Hopefully British depositors will hear something soon and ultimately we will be repaid within similar timescales to the Dutch.

Incidentally, just seen on BBC News that British Govt is going to offer Landsbanki a loan of £100m(?) so a similar deal to the Dutch one may be in the offing(?)