Northern Rock bailed out by Bank of England
- Thread starter Sim Two
- Start date
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paulimur
Guest
Hi all. Did online same day transfers to both an AIB and BOI account on Thursday night hoping € would hit my account on Friday. Arrived safely this morning to both accounts. This is 3 banking days which is the normal cycle before the panic last week. Looks like same day not working but reverting to normal 3 day despite the volume of tranactions. Logged on to account last night about 12pm after refreshing a no of times by hitting F5 key. Motto is use the online system if you can late at night and be patient.You will get on eventually. System was very slow but did work.Despite other posts and Bank of England guarantees I am a lot happier thinking about where to invest my money rather than having to worry about Northern Rock. From what I can see equivalent deposit rate of 4.5% is available from other banks for smaller sums if you shop around and be a bit creative.(eg 25K @ 4.5% with PTSB, 4.75% for 3 month account with Anglo, 10k @ 5% with Rabo, 15K @ 5.1% First Active etc etc)Reality is for big sums you'd be better off spreading it around given whats happening at the moment with shades of 1929 in the air.
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ohno
Guest
Yes, same for me. I imagine because they have to add interest and deduct tax and this won't be applied until the transaction is being processed.Query pls: when I logged in on saturday night to close my account I looked under pending transactions and the amount being shown was "0" instead of my balance...Did anyone experience the same sorry?
Yes - transacted on Saturday- logged in late lat night - after a huge humber f attempts - deadly slow
Y'day morning showed as pending
Last night shows as leaving my account & transferring to my bank.
Like I have been stating since Saturday - the problem now is just the sheer vol of transactions that NR have to get through. There is prob very few banks in the world equipped to handle vols such as this ie over counter & online activities.
ninsaga
B
beara
Guest
Just logged in now to check transfer (i did a same day electronic transfer on Saturday). Money has left NR but no sign of it in BOI yet. So out in cyberspace somewhere. I'll be happier when it arrives in my BOI account.
(although my wife has threatened to go on a spending spree to 'celebrate')
I had left 2k in NR but have just transferred the balance but left the account open. I honestly can't see myself banking with them again.
I'll definitely be spreading our funds around a few institutions.
These are strange times indeed.
(although my wife has threatened to go on a spending spree to 'celebrate')
I had left 2k in NR but have just transferred the balance but left the account open. I honestly can't see myself banking with them again.
I'll definitely be spreading our funds around a few institutions.
These are strange times indeed.
Thank you ohno!
Guys, what a stress!!! This will leave kind a wound to the savers' memories...
Am I the only one thinking of leaving my money in? I needed €2K out over the weekend and got in to key the transfer. Was a bit peeved off that I couldn t get my money when I needed it, because of the stampede, but given the bank rush can understand that.
Have €21K left there now. Is anyone else leaving their deposit with NR?
Have €21K left there now. Is anyone else leaving their deposit with NR?
Why oh why would anyone leave their money in NR? If everyone else withdraws their money then they will go bankrupt it is that simple. Even if the BoE guarantee holds, do you really want to be tied up with claims forms and dealing with a liquidator for months or even years?
If I wanted to put my money at risk, I'd buy NR shares, where at least I'm likely to be rewarded if the company survives or gets bought out.
My transfer has been completed. If it helps anyone here's my timeline:
- Friday 0700 submitted online transfer request
- Sunday afternoon - status in my account was that the money had been "sent to my bank"
- Monday - no sign of anything
- This morning - money appeared in my BOI account
- Friday 0700 submitted online transfer request
- Sunday afternoon - status in my account was that the money had been "sent to my bank"
- Monday - no sign of anything
- This morning - money appeared in my BOI account
Yep. I've a similar amount with them (Albeit half was put into a 4.75% Fixed Rate Bond in July). I'm fairly happy with the guarantees on offer, not to mention the prospect of a takeover soon.
I would also add though that I additionally have savings with Rabodirect & Halifax's Monthly Saver.
Jethro Tull
Registered User
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- 309
I checked their credit rating BEFORE all this went down and going by credit default swap fees their implied credit rating was no more than a single B. Thats worse than what most institutions would classify as 'junk' bonds. No way is 4.5% adeqate for that kind of implied credit rating. Ask anyone in treasury management should you invest in a junk bond with a yield of 4.5% and they'll tell you you need locking up
Why would they go bankrupt - as prev mentioned - they still have a sizeable loanbook.
ninsaga
Jethro Tull
Registered User
- Messages
- 309
just logged, didn't take many attempts.
I asked for a withdrawal early hours of sunday morning, still pending.
I asked for a withdrawal early hours of sunday morning, still pending.
where do you check the credit ratings of a bank?
Those mortgage based assets they're holding aren't exactly in very high demand at the moment. What's worse is that the mortgages that NR were lending were at very tight margins which may not be able to turn a profit given the new reality facing the markets (i.e. lack of credit and liquidity).