Move money from B&B?

ad44downey

There's no need to move your money from B&B as the government will pick up the tab. Of course that fact won't stop people moving their money in droves.

setmefree

ad44downey wrote: »

There's no need to move your money from B&B as the government will pick up the tab. Of course that fact won't stop people moving their money in droves.

If i had money there i would personally move it, reason being about 6 weeks ago they lied to everyone about not going to the shareholders;)

LongTermLurker

sascasjor wrote: »

I know its under £35k and therefor covered by some compensation scheme but I'm worried that if B&B do go under, I'll then find a house I like and have to wait months for the money to be returned?

I think everyone except Fella has missed the point
- YES, you are covered under the FSCS scheme
- YES, you will get your £34K back
- YES, a run on the bank is a disaster in the making, ala Northern Rock

...but OP says she's concerned about the potential illiquidity if FSCS have to step in. If B&B went under this month and she/he found a house which needed some of that £34K she/he would be stuffed. Therefore, in hers/his case it would be prudent to avoid the risk of illiquidity and move it somewhere else.

That's not to say that Bradford & Bingley is unsafe, it's whether an individual is in a position to risk being unable to access their money. Anyone with a Term Deposit or ISA would have no benefit or cause to move it, but I'm not so sure about Instant Access account holders.

donnerbono

I've moved my money this morning (hopefully it's moving anyway) as I need 100% confidence in having my money and full control of it more than 1 or 2% more interest.

Maybe it's a reaction to scaremongering but I personally would feel reassured when the B&B headlines don't apply to my money!

reliable65

im in the same boat

approx 100 grand in b & b

took 2 35k cheques out this morning and opened 2 new bank accounts

still got 40 grand tied up in a 12 month bond at b & b

skoolmaster

59 building societies just queing up for your ex- B&B cash ...
(with exception of the few LOCALS ONLY) who will want £5k for membership they all have FSCS cover to £35K .... there are some really good fixed rate and regular saver deals


if you fancy a portfolio and not putting all your eggs in one basket, spread your money around .... all these best buy tables cover the wider market ...

MONEYFACTS DATASCREEN http://www.moneyfacts.co.uk/savings/default.aspx
Digital Look - Savings Products http://www.digitallook.com/
MONEYSUPERMARKET http://www.moneysupermarket.com/savings/
FIND http://www.find.co.uk/
MONEY NET http://www.moneynet.co.uk/news/index.shtml
Moneywise http://www.moneywise.co.uk
MONEY MAGPIE http://www.moneymagpie.com/

jamesd

There is a risk that in the very unlikely event that B&B went bankrupt you'd have to wait a few weeks for access to your money. Far more likely would be a takeover by another bank that only took a few days before there was normal access.

Moving amounts less than 35k just needlessly makes life harder for B&B so it's really not useful to do that before you have a place you want to buy. Once you have that place you could then move the money to a few other places. A few because while B&B is getting the headlines, one that isn't in the news could be the one that actually has problems.

For anyone who isn't likely to need the money in a big hurry there's no great reason to move any amount less than 35k. Just go for the best interest rates and relax.

donaldtramp

To put your mind at rest, here are the compensation limits from the Financial Services Compensation scheme website:

http://www.fscs.org.uk/consumer/key_facts/limitations_of_the_scheme/compensation_limits/

Fella

DAK how interest on savings in a busto institution would work in the event the FSCS was invoked?

I.e. someone invests £30K in a 1 year bond somewhere on Jan 1st. Interest is due to be added on anniversary of the bond. If that institution went kaput on Dec 31st, would the saver lose the year's worth of interest?

purch

Maybe it's a reaction to scaremongering but I personally would feel reassured when the B&B headlines don't apply to my money!

Unfortunately the more and more people do react to the scaremonering the more and more likely it is that the B&B headlines will impact everybody's money