How relevant is the 100k guarantee


this is an interesting point - state bailing in depositors. Cyprus explicitly did it when they had their crash (apparently being pushed to do so by ECB).

Irish state did not explicitly bail in depositors, but it did add sneaky bail-in type tax to pension funds for a number of years. If worst came to worst and we faced another crash, I would expect that the state would bail in depositors. That line has now been crossed in the EU and the spin given would be why should Ireland be better than Cyprus?

So while the 100k bank guarantee is relevant, my main worry (if I had that much cash) would be a bail-in scenario if another banking crash happened. Personally I think the banks are in much better position now than back in '08. the fact they are slow to increase mortgage rates (and are offsetting the cost vs deposits) seems to me that they are trying to manage rate rises a lot to minimise defaults.
 
coolaboola12 said:
Interesting so I'm back to multiple current accounts, which clubman gave out to me about
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I'm with @ClubMan on this. As he says why would you have multiple current accounts where you may pay fees and probably not earning interest. Its probably unnecessary but its also safer to have non-day-to-day funds on time delay release in case your accounts are scammed or hacked or whatever
 

Sarenco said:
There is no EU Deposit Guarantee - the Germans wouldn’t wear it.

All deposit guarantees are national schemes, with reserves covering a very small fraction of covered deposits.
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I said "EU regulated bankS, covered by EU Deposit GuaranteeS". Meaning, deposit guarantee schemeS in EU countries. You referred to "no EU Deposit Guarantee (no S) - singular. Sorry if not clear.
 
So what would you do with over 100k cash
 
podgerodge said:
Jesús man! I meant EU deposit guarantee schemes, and you know it!
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I’m simply making the point that there is/are no EU deposit guarantee scheme(s).

If you place money on deposit with a Latvian bank, you are solely reliant on the Latvian DGS, whose reserves only cover a small fraction of covered deposits.
 
Sarenco said:
I’m simply making the point that there is/are no EU deposit guarantee scheme(s).

If you place money on deposit with a Latvian bank, you are solely reliant on the Latvian DGS, whose reserves only cover a small fraction of covered deposits.
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You are being pedantic and interpreting my phrasing in a way that most would not. There are lots of EU deposit guarantee schemes. One in every country. Phrasing it that way is quite common, as a quick google will show you. Here's one for you from the European Banking Authority. Maybe you should correct them
 

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