I have €75k in INBS earning 5% gross interest p.m. Am I being naive as I was reading that if they were to go belly up I could only expect to receive €20k of my monies back?
If I am being blinkered, I would welcome any suggestions on where I should place my hard earned cash? I am also expecting another €16k to mature from 2 bonds shortly but haven't an idea where/ what to do in the current market conditions!
house worth (now falling by the day) approx €500k.
No mortgage or loans
Earnings - Moi - €60k/ partner - €30k (gross)
3 kids
2 cars
overall savings apprx €170k to date
If you are worried then put it in Northern Rock - earn 5% and get a 100% capital and interest guarantee. Or split it across multiple lumps sum demand/term and regular saver accounts to mitigate the risk to your deposits. But having large amounts on deposit is not a great idea. Inflation is about 5% so the real return after DIRT is negative on most.
You might want to get independent professional advice on your overall financial situation.
Actually I suggested the possibility of putting all the eggs in the NR basket since they offer a 100% guarantee and a competitive rate on deposits. On the other hand it would make more sense to diversify a bit more across different short, medium and long term savings/investments, different asset classes and risk-reward profiles etc. etc. The AAM Guide to Savings and Investments and the www.itsyoumoney.ie consumer guides cover many of the essential basics involved in figuring this sort of stuff out.
Firstly apologies for the meaningless title to my thread. I couldn't think of anything better at the time of writing (during lunch):-(
Secondly thanks for all your advice. I am now going to check out the itsyour money website. I've made up my mind to reduce my INBS account to a reasonable level and open several new accounts.