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  • FIRST POST
    • Jim431
    • By Jim431 9th Jun 15, 4:24 PM
    • 129Posts
    • 61Thanks
    Jim431
    RCI Bank 1.5% Instant Access Savings Account
    • #1
    • 9th Jun 15, 4:24 PM
    RCI Bank 1.5% Instant Access Savings Account 9th Jun 15 at 4:24 PM
    New one for me, ticks all the right boxes.

    https://www.rcibank.co.uk/

    Anyone got experience with this Renault (cars) owned bank ?
Page 1
    • ColdIron
    • By ColdIron 9th Jun 15, 4:35 PM
    • 5,429 Posts
    • 7,430 Thanks
    ColdIron
    • #2
    • 9th Jun 15, 4:35 PM
    • #2
    • 9th Jun 15, 4:35 PM
    Not covered by the UK Financial Services Compensation Scheme although it is covered by the French deposit guarantee scheme so in the event of them not meeting their obligations you would be dealing with France

    Also they state they are only subject to limited regulation by the Financial Conduct Authority and the Prudential Regulation Authority

    Up to you
    • darren72
    • By darren72 9th Jun 15, 4:49 PM
    • 1,285 Posts
    • 296 Thanks
    darren72
    • #3
    • 9th Jun 15, 4:49 PM
    • #3
    • 9th Jun 15, 4:49 PM
    As ColdIron says it isn't protected by the FSCS so in my opinion not worth the risk.
    Last edited by darren72; 09-06-2015 at 5:20 PM.
    • colsten
    • By colsten 9th Jun 15, 5:05 PM
    • 10,853 Posts
    • 10,077 Thanks
    colsten
    • #4
    • 9th Jun 15, 5:05 PM
    • #4
    • 9th Jun 15, 5:05 PM
    As ColdIron says it is protected by the FSCS so in my opinion not worth the risk.
    Originally posted by darren72
    You got a "not" missing?
    • colsten
    • By colsten 9th Jun 15, 5:12 PM
    • 10,853 Posts
    • 10,077 Thanks
    colsten
    • #5
    • 9th Jun 15, 5:12 PM
    • #5
    • 9th Jun 15, 5:12 PM
    After my experience with Icesave, I wouldn't ever touch a non-FSCS protected outfit ever again. It's difficult enough get the FSCS protection work for you (as many of us have learnt quite recently) on oddball providers and I would dread having to deal with the french protection scheme if the worst came to the worst.

    When Icesave collapsed, the UK government generously rescued all private savers as there were so many of them. I can't see a similar thing happen ever again, not least because by now people should be wiser and know about the protection issues.
    • colsten
    • By colsten 9th Jun 15, 5:15 PM
    • 10,853 Posts
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    colsten
    • #6
    • 9th Jun 15, 5:15 PM
    • #6
    • 9th Jun 15, 5:15 PM
    OP, have you read this: http://www.moneysavingexpert.com/savings/safe-savings
    • Jim431
    • By Jim431 10th Jun 15, 8:24 AM
    • 129 Posts
    • 61 Thanks
    Jim431
    • #7
    • 10th Jun 15, 8:24 AM
    • #7
    • 10th Jun 15, 8:24 AM
    Thanks everyone. The guarantee scheme compensation procedure looks ok - but can you trust em to follow it when it all goes wrong !

    Could France become another Iceland

    http://www.garantiedesdepots.fr/en/compensation-procedure
    https://www.rcibank.co.uk/security/guarantee-scheme
    • colsten
    • By colsten 10th Jun 15, 4:57 PM
    • 10,853 Posts
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    colsten
    • #8
    • 10th Jun 15, 4:57 PM
    • #8
    • 10th Jun 15, 4:57 PM
    Thanks everyone. The guarantee scheme compensation procedure looks ok - but can you trust em to follow it when it all goes wrong !
    Originally posted by Jim431
    I don't think it looks ok at all as it would be a massive PITA to claim from a foreign compensation scheme, and there is exactly zero guarantee that the foreign scheme will pay you even a penny.

    The Icelandic scheme was pretty much like the scheme that applies to RCI. When the icelandic banks collapsed, the Iceland Government announced that their banks' protection scheme did not apply to non-icelandic citizens. Only a non-standard response from the UK government at the time rescued savers back then. I don't think there is any reason to believe that any UK government would ever respond like this again. I.e. you are left to your own devices, and rightly so, as you have been given all the warnings that can possibly be given,

    Have you been affected by the collapse of a non-FSCS-protected outfit? Have you been affected by the collapse of an FSCS-protected outfit? I have practical experience of both. In that experience, getting your money through FSCS is hard enough and by no means guaranteed when you need it, and getting our money through a non-UK scheme could be simply impossible.

    Can't believe that anyone would ever want to promote a non-FSCS-protected 1.5% instant access savings account, but I suppose it takes all sorts.
    Last edited by colsten; 10-06-2015 at 5:02 PM.
    • Anthorn
    • By Anthorn 19th Jun 15, 11:36 AM
    • 4,300 Posts
    • 1,202 Thanks
    Anthorn
    • #9
    • 19th Jun 15, 11:36 AM
    • #9
    • 19th Jun 15, 11:36 AM
    RCI Bank need to get it together better than they have done so far: I signed up successfully but the reference number used to identify my account when paying by bank transfer was different according to which advice I was reading. If we count numbers, letters and spaces I received three different references. The first was online and the second was in email. The third was in a letter and the number in this was completely different to the previous two.

    In the welcome pack I was also treated to a credit card sized something or other on which I can write my User ID and a key fob both made from two layers of paper. I'll be surprised if these last longer than a day.

    So in my own personal experience RCI Bank need to get their act together instead of looking like a bunch of amateurs playing at banking!

    Oh yes, I paid money in but only the initial compulsory 100. I'll wait for further experience before I pay in any more than that.
    Last edited by Anthorn; 19-06-2015 at 11:41 AM. Reason: funky spelling. Windows 8.1, say no more!
    • Anthorn
    • By Anthorn 19th Jun 15, 2:26 PM
    • 4,300 Posts
    • 1,202 Thanks
    Anthorn
    I don't think it looks ok at all as it would be a massive PITA to claim from a foreign compensation scheme, and there is exactly zero guarantee that the foreign scheme will pay you even a penny.

    The Icelandic scheme was pretty much like the scheme that applies to RCI. When the icelandic banks collapsed, the Iceland Government announced that their banks' protection scheme did not apply to non-icelandic citizens. Only a non-standard response from the UK government at the time rescued savers back then. I don't think there is any reason to believe that any UK government would ever respond like this again. I.e. you are left to your own devices, and rightly so, as you have been given all the warnings that can possibly be given,

    Have you been affected by the collapse of a non-FSCS-protected outfit? Have you been affected by the collapse of an FSCS-protected outfit? I have practical experience of both. In that experience, getting your money through FSCS is hard enough and by no means guaranteed when you need it, and getting our money through a non-UK scheme could be simply impossible.

    Can't believe that anyone would ever want to promote a non-FSCS-protected 1.5% instant access savings account, but I suppose it takes all sorts.
    Originally posted by colsten
    Who is to say that U.K. won't become another Iceland or any E.U. country for that matter with Grexit imminent? But of course by your reckoning we should only have our money in U.K. banks protected by FSCS. Well of course, that lets out off-shore accounts and foreign banks such as Dutch bank ING Direct which had rather a lot of depositors in U.K.and was eventually taken over by Barclays.


    Then there is the FSCS only protecting each account holder and not per bank and only per banking group. So if you had an account at different banks within the same banking group that 85000 is shared across all of them.


    And perhaps we should only invest in shares in U.K. companies quoted on the LSE and forget foreign shares.


    The fact is that RCI Banque and it's subsidiaries such as RCI Bank Uk have their depositors protected up to 100000 Euros and that is supported and underwritten by the French government!


    Your argument is therefore pretty much uninformed and ridiculous and I even wonder why I have bothered to reply to it! Too much time on my hands perhaps.
    Last edited by Anthorn; 19-06-2015 at 2:30 PM.
    • colsten
    • By colsten 19th Jun 15, 5:14 PM
    • 10,853 Posts
    • 10,077 Thanks
    colsten
    Your argument is therefore pretty much uninformed and ridiculous and I even wonder why I have bothered to reply to it! Too much time on my hands perhaps.
    Originally posted by Anthorn
    If somebody says something that doesn't agree with your personal opinions of how the guarantee schemes might work, it doesn't mean they are uninformed.

    It is a very valid question why you replied to my post. You don't have your facts straight and you don't appear to know what a passport agreement is.

    As it happens, I have practical experience of claiming under both, a passport agreement and under FSCS. From what you have written, you don't appear to have practical experience of either, and your theoretical understanding is clearly flawed.



    Then there is the FSCS only protecting each account holder and not per bank and only per banking group. So if you had an account at different banks within the same banking group that 85000 is shared across all of them.
    Originally posted by Anthorn
    I would suggest you inform yourself how the FSCS scheme works as you haven't got your facts straight.


    And perhaps we should only invest in shares in U.K. companies quoted on the LSE and forget foreign shares.
    Originally posted by Anthorn
    Not that shares have anything to do with savings but since you mention them: you also don't understand that and how you can invest in non-UK companies without ever buying a single foreign share, and that most UK investors do exactly that.

    The fact is that RCI Banque and it's subsidiaries such as RCI Bank Uk have their depositors protected up to 100000 Euros and that is supported and underwritten by the French government!
    Originally posted by Anthorn
    So? It is still as passport agreement.

    May be you would care to read my earlier post again.
    • ColdIron
    • By ColdIron 19th Jun 15, 5:44 PM
    • 5,429 Posts
    • 7,430 Thanks
    ColdIron
    And perhaps we should only invest in shares in U.K. companies quoted on the LSE and forget foreign shares.
    Originally posted by Anthorn
    That is a non sequitur, the protection that applies to deposit accounts simply does not operate for equities

    Your argument is therefore pretty much uninformed and ridiculous
    Originally posted by Anthorn
    I woud look at your own argument before criticising others
    • masonic
    • By masonic 19th Jun 15, 6:33 PM
    • 12,307 Posts
    • 9,930 Thanks
    masonic
    It would take more than a rate of 1.5% to get me to save any money with a bank operating in the UK that isn't fully regulated by the FCA. Other foreign banks manage to operate with full regulation. Why doesn't this one? Does it not meet our regulatory requirements?
    • Anthorn
    • By Anthorn 20th Jun 15, 4:49 AM
    • 4,300 Posts
    • 1,202 Thanks
    Anthorn
    Let's start with my position that the FSCS only protects each account holder and not each bank account and not each bank in a group where the 85000 is shared across all such group bank accounts. Perhaps those who have disagreed with that would like to explain why that is wrong!


    There is absolutely no difference whatsoever in avoiding investing in foreign bank accounts and investing in foreign shares and confining oneself to UK owned companies. It stems from the same narrow-mindedness!

    We have already seen the effectiveness of the FSCS guarantee several times: When a bank goes under it is taken over by the regulator and that bank is then sold by the government not necessarily to the highest bidder and then we find ourselves owned by a foreign bank. And that my friends is the biggest laugh of the lot! No-one gets compensated because no-one needs to be compensated. c.f. Alliance &Leicester, Abbey National, both U.K. owned long-standing banking institutions now owned by Spanish Santander. Need I list more?
    Last edited by Anthorn; 20-06-2015 at 5:28 AM. Reason: spelling.
    • Anthorn
    • By Anthorn 20th Jun 15, 5:35 AM
    • 4,300 Posts
    • 1,202 Thanks
    Anthorn
    If somebody says something that doesn't agree with your personal opinions of how the guarantee schemes might work, it doesn't mean they are uninformed.
    Originally posted by colsten
    Let's see: My criticism about RCI Bank UK more specifically related to the account opening, is based on my own personal and informed experience from having actually opened a Freedom Savings Account at RCI Bank UK. However all you have to offer is unsupported hearsay and innuendo. That's why you're uninformed and I'm informed! For crying out loud you didn't even know the name of the bank until I wrote it here: Just to recap it's RCI Bank UK.
    • masonic
    • By masonic 20th Jun 15, 7:24 AM
    • 12,307 Posts
    • 9,930 Thanks
    masonic
    Let's start with my position that the FSCS only protects each account holder and not each bank account and not each bank in a group where the 85000 is shared across all such group bank accounts. Perhaps those who have disagreed with that would like to explain why that is wrong!
    Originally posted by Anthorn
    I wasn't one of the people who disagreed with you, but the fact is that you are wrong when you say that 85k is always shared between banks that are part of a group. As colsten previously said, you should really familiarise yourself with how these things work before arguing against those who are more informed (and more experienced) in these matters than you are. You could start with the guide on this site: http://www.moneysavingexpert.com/savings/safe-savings

    Pay particular attention to point 4. "The definition of 'institution' depends on a bank's licence and giant banking conglomerates make it complex. For example, sister banks Halifax and Bank of Scotland's accounts are only covered up to 85k combined. RBS and NatWest are also sisters, but their 85k limits are SEPARATE."

    There is absolutely no difference whatsoever in avoiding investing in foreign bank accounts and investing in foreign shares and confining oneself to UK owned companies. It stems from the same narrow-mindedness!
    There is zero protection if you invest in a UK share and it goes bust.
    There is zero protection if you invest in a foreign share and it goes bust.
    There is FSCS protection if you save in a UK bank account and it goes bust.
    There is FSCS protection if you save in most foreign-owned UK bank accounts and they goes bust.
    However, with RCI Bank UK, there is no FSCS protection if it goes bust. This is a matter of verifiable fact. They say so on their website.

    Still think there is no difference whatsoever between these protections?

    We have already seen the effectiveness of the FSCS guarantee several times: When a bank goes under it is taken over by the regulator and that bank is then sold by the government not necessarily to the highest bidder and then we find ourselves owned by a foreign bank. And that my friends is the biggest laugh of the lot! No-one gets compensated because no-one needs to be compensated. c.f. Alliance &Leicester, Abbey National, both U.K. owned long-standing banking institutions now owned by Spanish Santander. Need I list more?
    I agree with all of that. But the fact remains that banks that are not part of the FSCS, like RCI Bank UK, are not subject to those safeguards. We have already had experience of what happens when a bank that is not part of the FSCS goes bust. This happened with Icesave. The foreign scheme was going to renege on its promise to repay savers, leaving them without compensation, until the UK Government stepped in and used anti-terrorism legislation to (unlawfully) freeze its UK assets and use them in part to repay savers. As colsten also pointed out, it is less likely the same thing would happen in the future, because strictly it was a misuse of those powers.

    Governments have a pretty strong interest in protecting their own citizens, which is why FSCS protection is so important to us in the UK. Foreign Governments are somewhat less predisposed to protecting citizens of other states, which is why passport schemes are regarded as inferior.

    Edit: Also, in your example above, Santander is fully regulated by the FCA and is part of the FSCS. Nobody has any concerns about the protections offered to savers there. The situation is quite different with RCI. It is not fully regulated by the FCA and not part of the FSCS - this is the genuine added risk that you seem to be misinterpreting as narrow-mindedness.
    Last edited by masonic; 20-06-2015 at 7:37 AM.
    • colsten
    • By colsten 20th Jun 15, 8:26 AM
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    • 10,077 Thanks
    colsten
    For crying out loud you didn't even know the name of the bank until I wrote it here: Just to recap it's RCI Bank UK.
    Originally posted by Anthorn
    It's quite amazing just how many things you got wrong in this thread, and even more amazing that you keep adding to it.

    You will find written proof in this very thread, post #4, that I knew of RCI on June 9 2015, which is about 10 days before you first posted here about it. I can provide no written proof that I knew about RCI before it was ever mentioned on MSE, but it is fair to say that you are no different to anyone else and don't know when I first knew about them.

    Do yourself a favour and stop digging as you are in a really deep hole already.
    • PeacefulWaters
    • By PeacefulWaters 20th Jun 15, 8:34 AM
    • 8,316 Posts
    • 10,685 Thanks
    PeacefulWaters
    Moneyfacts reported RCI entering the retail savings market a couple of weeks ago.
    • Anthorn
    • By Anthorn 20th Jun 15, 9:19 AM
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    • 1,202 Thanks
    Anthorn
    It's quite amazing just how many things you got wrong in this thread, and even more amazing that you keep adding to it.

    You will find written proof in this very thread, post #4, that I knew of RCI on June 9 2015, which is about 10 days before you first posted here about it. I can provide no written proof that I knew about RCI before it was ever mentioned on MSE, but it is fair to say that you are no different to anyone else and don't know when I first knew about them.

    Do yourself a favour and stop digging as you are in a really deep hole already.
    Originally posted by colsten

    Loads of peple knew about it and know about it now because as the previous post states it was announced beforehand. But my question is what personal experience do you have of RCI Bank UK to qualify your statements about it? I'll even settle for personal experience of RCI Banque. Tip: It's in the Renault Group. Omg that's even more French lol. C'est la vie.
    • masonic
    • By masonic 20th Jun 15, 9:49 AM
    • 12,307 Posts
    • 9,930 Thanks
    masonic
    But my question is what personal experience do you have of RCI Bank UK to qualify your statements about it? I'll even settle for personal experience of RCI Banque. Tip: It's in the Renault Group. Omg that's even more French lol. C'est la vie.
    Originally posted by Anthorn
    Why do you care about personal experiences? They are just a type of anecdotal evidence and isolated personal experiences are pretty unreliable vs. documentary evidence. Opening a bank account with an institution certainly does not make you any sort of authority about the practices of that institution or its main regulatory body. Neither does discovering the existence of the institution in question earlier than others.

    Your question implies that there are unqualified statements that have been made about this bank. My reading of the thread suggests the following fully qualified statements have been made:

    - RCI Bank UK is not part of the FSCS
    - It is not fully regulated by the FCA
    - Most other foreign banks are part of the FSCS and are fully regulated by the FCA
    - Non-FSCS compensation schemes have previously failed to meet their obligations to UK savers

    Which statements have been made that you believe must be further qualified?
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