Ain't Nobody Here Posted October 7, 2008 Share Posted October 7, 2008 I was horrified to hear on the radio on the way home from work that Icesave has suspended all deposits and withdrawals as Landsbanki has gone into receivership . I'm still trying to find out what this means for me (I deposited some money in there only 4 weeks ago, on the back of MoneySavingExpert's advice ). Anyone else affected? Quote Link to comment Share on other sites More sharing options...
Tessa the Duchess Posted October 7, 2008 Share Posted October 7, 2008 Yep I am and DH. As I gather from the BBC news and website any savings with them up to £50,000 are safe and you will get the money back one day, sometime, goodness knows when Landsbanki has been put into receivership which is different to going bust, but apparently it will go bust and this will trigger the compensation deal for savers. The Icelandic govt have guaranteed the first £16,000 and the FSA have guaranteed the balance up to £50,000, it's just not going to happen any time soon. In the meantime all accounts are frozen and you will not be getting any interest It sucks. Tessa Quote Link to comment Share on other sites More sharing options...
clootie Posted October 7, 2008 Share Posted October 7, 2008 Gosh, I'm sorry to hear this guys. I dread the news on a daily basis now. Keep positive. Quote Link to comment Share on other sites More sharing options...
Tessa the Duchess Posted October 7, 2008 Share Posted October 7, 2008 Gosh, I'm sorry to hear this guys. I dread the news on a daily basis now. Keep positive. I was trawling the money/savings forums this morning trying to get some information and I came across a posting from a woman who had invested £100,000 in Icesave in order to pay her mother's nursing home bills. She knew she was taking a chance putting so much in one account, but their interest rate was very good. Now her money is frozen and she will lose half of it, it made me feel really sad for her. Tessa Quote Link to comment Share on other sites More sharing options...
clootie Posted October 7, 2008 Share Posted October 7, 2008 That's absolutely dreadful. Life savings. I'm surprised some people can sleep at night frankly. Quote Link to comment Share on other sites More sharing options...
Egluntyne Posted October 7, 2008 Share Posted October 7, 2008 Bad luck chaps. Very worrying times. Quote Link to comment Share on other sites More sharing options...
Ain't Nobody Here Posted October 7, 2008 Author Share Posted October 7, 2008 Poor woman . I have to say that I read and re-read Martin Lewis's advice about this bank before investing but was happy to do so as I wasn't investing a massive amount. And he kept saying "in the very unlikely event it went bust" . Quote Link to comment Share on other sites More sharing options...
Seagazer Posted October 7, 2008 Share Posted October 7, 2008 Bad luck Vicki. Hope you don't lose anything. Sounds as though you might be okay but will have to wait. Quote Link to comment Share on other sites More sharing options...
A chickychickychick-ENN!! Posted October 7, 2008 Share Posted October 7, 2008 The whole of Iceland is economically on the brink at the moment. Don't invest in anything Icelandic at all - and check the parent companies of anything if you are a stocks and shares bunny - they have stakes in several decent-sized British companies. More here on why Iceland's in trouble: http://www.bbc.co.uk/blogs/thereporters/robertpeston/2008/10/creditors_call_time_on_iceland.html Anna x Quote Link to comment Share on other sites More sharing options...
Guest Posted October 7, 2008 Share Posted October 7, 2008 I heard this on the news this afternoon and called Mum straight away. We both had Icesave accounts on the back of MSE recommendation. I don't have any money in mine an turns out she doesn't either! She took her money out when she had to emergency fund my grannies move! Mum has been SOOO lucky over all of this. Her money used to be mainly tied up in shares in AN AMERICAN BANK!!! When we bought this house she cashed them all in to "bridge" us whilst she sold her old house and she hasn't ever re-invested. She did split sums around various building socs and has emptied all of them or the emergency funding of Grannies move (and the sale of her old place is going through no problems as the housing association are buying it!). The only "cash" left now is in premium bonds in all of our names. Quote Link to comment Share on other sites More sharing options...
Tessa the Duchess Posted October 7, 2008 Share Posted October 7, 2008 Your mum is very lucky Pengy. I think I am going to take all my money and keep it in an old sock underneath my mattress Tessa Quote Link to comment Share on other sites More sharing options...
freddie Posted October 7, 2008 Share Posted October 7, 2008 we are all told to save for our old age. so like good obedient lemmings, we do. now we cant sleep at night as we watch it all trickle away. I wonder if it's not better to be like the grasshopper??? he had a wonderful summer, and still got fed, after all I've just been trying to make sure the little bit I've stashed away is safe, but where is safe now. these are worrying times for the ordinary people, like us. I'm so sorry for those who have lost hard earned money, it's grossly unfair , when the fat cats sit in their houses in Barbados, with a drink in their fat hands, wondering how to twist the ordinary family next. Quote Link to comment Share on other sites More sharing options...
Guest Posted October 7, 2008 Share Posted October 7, 2008 I think you could be right Freddie. Our money may be worth less than it used to, in property, but it could have been worse - it could have been in a bank! Terrible to think you can't trust a bank. And as for the property. Well the rental property still earns more rent than the mortgage costs, even if it is worth less in value - I'm not selling it so that doesn't matter. Same goes for this house, I have no intention of selling it for a very long time and I still love living here no matter if it's worth less than I paid. Fortunately the sale on Grannies flat is safe as the housing association are buying it. Rest of the money can go in a sock under the mattress - or I'll just spend it! Quote Link to comment Share on other sites More sharing options...
Valkyrie Posted October 7, 2008 Share Posted October 7, 2008 Us too, and our one was due to finish at the end of the month - shan't tell you what OH said, but the air was pretty blue. On the news they said that you have to apply to the Icelandic Government for the first £16,500 and then our Government will guarantee up to £35,000 over that amount. Apparently they are waiting to see if the main bank goes into liquidation and then letters will be sent to the customers. But then their Government doesn't have enough to pay off the savers. We thought we were sensible in spreading our savings around, but there's a lot to be said for putting it under the mattress because all the banks seem to be up the creek. Quote Link to comment Share on other sites More sharing options...
Ain't Nobody Here Posted October 7, 2008 Author Share Posted October 7, 2008 I've also got some savings with ICICI Bank (an Indian bank). Feeling a bit nervous, I checked it out and their website says: Full protection of £50,000 under the Financial Services Compensation Scheme so at least that money's safe (for the time being ). Quote Link to comment Share on other sites More sharing options...
Tessa the Duchess Posted October 8, 2008 Share Posted October 8, 2008 Quick update on this for those concerned. The Icelandic govt. has chosen not to honour it's promise to refund uk savers The British govt. have jumped in and Alistair Darling has promised that all UK Icesave savers will be fully reimbursed even if their holding is over the £50.000 limit, so phew Tessa Quote Link to comment Share on other sites More sharing options...
Lesley Posted October 8, 2008 Share Posted October 8, 2008 That's good news! We don't have any savings since we sunk everything into the farm two years ago......but if we had I think I'd stick to the sock under the mattress Quote Link to comment Share on other sites More sharing options...
Valkyrie Posted October 8, 2008 Share Posted October 8, 2008 It's not as if we all invested unwisely - this bank has been given a licence to trade here by our Government, so it should have been safe. I think next time I will speak to that nice business man from Nigeria!!!! Er, not quite that daft yet! OH is much happier today, but he said "what would happen if the Santander bank chose to do the same thing as Iceland? They have a big hold on all the good accounts and they could also go under. Then the Irish banks etc". Can't see anyone giving Iceland any future business of any kind - serves them right! Quote Link to comment Share on other sites More sharing options...
Tessa the Duchess Posted October 8, 2008 Share Posted October 8, 2008 Santander (Abbey) are not covered at all by the FSA guarantee because they do not have a UK based bank. I pulled my savings from the Abbey a couple of weeks ago as I could see the way things were going Then Santander bought Bradford and Bingley and I'm back in with them again It's driving me crackers!! I would keep my money in a sock, but I am retired and need income from savings. I think the easiest thing for me would be to find a job Tessa Quote Link to comment Share on other sites More sharing options...
Cinnamon Posted October 8, 2008 Share Posted October 8, 2008 Santander (Abbey) are not covered at all by the FSA guarantee because they do not have a UK based bank. I pulled my savings from the Abbey a couple of weeks ago as I could see the way things were going Likewise Tessa, & I stuck it inot Kaupthing Edge,which is another Icelandic bank. We have a massive safe in the house,& I am seriously considering bunging everything in there for the moment. Its already has all the in laws savings in it Quote Link to comment Share on other sites More sharing options...
The Spencers Posted October 8, 2008 Share Posted October 8, 2008 We've also been hit by this one Martin lewis' site is regularly updated with what's happening (2 or 3 times a day if there's anything to report). The link is below; http://www.moneysavingexpert.com/savings/safe-savings#iceland If any of you have savings there he does suggest logging on and printing off a statement so you know how much you have and to smooth out the claims process. This will hopefully be just 1 claim rather than 2. Looks like the government is guaranteeing the savings if necessary. Let's hope we all get our money back without too much undue hassle. Quote Link to comment Share on other sites More sharing options...
Omletina Kyckling Posted October 8, 2008 Share Posted October 8, 2008 I think from the research I've done, that Abbey is covered under the FSCS, for the first £50k even though it is owned by Santander....I looked at the FSA and it said it was and they say it is on their website http://www.abbey.com/csgs/Satellite?c=GSAgrupAsset&cid=1210613274047&pagename=Abbey/GSAgrupAsset/GS_HerramientasGestion I hope it is! Quote Link to comment Share on other sites More sharing options...
Tessa the Duchess Posted October 8, 2008 Share Posted October 8, 2008 I think from the research I've done, that Abbey is covered under the FSCS, for the first £50k even though it is owned by Santander....I looked at the FSA and it said it was and they say it is on their websitehttp://www.abbey.com/csgs/Satellite?c=GSAgrupAsset&cid=1210613274047&pagename=Abbey/GSAgrupAsset/GS_HerramientasGestion I hope it is! I went to my branch of the Abbey and point blank asked them, "Ooops, word censored!"ody knew They said they would find out and phone me with the answer, 3 days later they still hadn't phoned I searched high and low on the internet for the answer couldn't really get a definite one, so I pulled out my savings, losing 3 months interest I am pretty sure that because Santander have NO bank based in the UK then the FSCS does not guarantee them. However, now that Santander also own Bradford and Bingley maybe this changes things. Quite honestly I am just not prepared to take any more risks with my hard earned. Tessa. Quote Link to comment Share on other sites More sharing options...
Omletina Kyckling Posted October 8, 2008 Share Posted October 8, 2008 Quitehonestly I am just not prepared to take any more risks with my hard earned. Tessa. I don't blame you....I think the whole thing is terrifying. "Ooops, word censored!"ody would have believe week ago that a bank could go under and we'd be having to think like this! Quote Link to comment Share on other sites More sharing options...
freddie Posted October 8, 2008 Share Posted October 8, 2008 Does anyone know how long a bankrupt bank will take to pay out anyone who has the misfortune to have savings with them? Quote Link to comment Share on other sites More sharing options...
