UK savings warning
Oct 13th 2008, 10:44 am
#1
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Joined: Jan 2008
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UK savings warning
I have just been talking to the FSA Consumer advice to clarify the status of different savings with Building Societies and Banks in the UK.
Normal savings accounts are covered to the full £50,000. Savings Bonds are subject to a different compensation, and limited to £48,000. Broadly it seems to depend whether it is classed as an investment or a deposit. The lady suggested that there are far more different types than is readily apparent, and it would be wise to check the exact status. (And not from some spotty 18 year old behind the counter). Some presumably might not be covered at all, although that would, I imagine, be a rare few.
I would stress that, although Darling is still dithering, I cannot envisage the UK Government actually letting savers go to the wall.
Normal savings accounts are covered to the full £50,000. Savings Bonds are subject to a different compensation, and limited to £48,000. Broadly it seems to depend whether it is classed as an investment or a deposit. The lady suggested that there are far more different types than is readily apparent, and it would be wise to check the exact status. (And not from some spotty 18 year old behind the counter). Some presumably might not be covered at all, although that would, I imagine, be a rare few.
I would stress that, although Darling is still dithering, I cannot envisage the UK Government actually letting savers go to the wall.
Oct 13th 2008, 12:28 pm
#2
Senior Moment
Joined: Jan 2006
Location: On the edge
Posts: 20,460
Re: UK savings warning
I have just been talking to the FSA Consumer advice to clarify the status of different savings with Building Societies and Banks in the UK.
Normal savings accounts are covered to the full £50,000. Savings Bonds are subject to a different compensation, and limited to £48,000. Broadly it seems to depend whether it is classed as an investment or a deposit. The lady suggested that there are far more different types than is readily apparent, and it would be wise to check the exact status. (And not from some spotty 18 year old behind the counter). Some presumably might not be covered at all, although that would, I imagine, be a rare few.
I would stress that, although Darling is still dithering, I cannot envisage the UK Government actually letting savers go to the wall.
Normal savings accounts are covered to the full £50,000. Savings Bonds are subject to a different compensation, and limited to £48,000. Broadly it seems to depend whether it is classed as an investment or a deposit. The lady suggested that there are far more different types than is readily apparent, and it would be wise to check the exact status. (And not from some spotty 18 year old behind the counter). Some presumably might not be covered at all, although that would, I imagine, be a rare few.
I would stress that, although Darling is still dithering, I cannot envisage the UK Government actually letting savers go to the wall.
What about us poor buggers with money in stocks and shares
Oct 13th 2008, 2:21 pm
#3
BE Enthusiast
Joined: Mar 2007
Location: España
Posts: 728
Re: UK savings warning
At the end of the day nothing's ever 100% safe.
If you look closely at the small print on any UK banknote - you'll soon realise it's nothing more than an IOU... That £20 note is just a piece of paper representing the £20 that you loaned to the bank which they are now investing in the booming American real estate market
If you look closely at the small print on any UK banknote - you'll soon realise it's nothing more than an IOU... That £20 note is just a piece of paper representing the £20 that you loaned to the bank which they are now investing in the booming American real estate market
