Worried about my Isa in Icesave

[photopheline34]

I'm not sure any bank is safe currently! Barclays shares went down I hear.

[damian_steele]

Barclays dropped around another 4%.
HBOS is dropping like a stone.
Lloyds TSB are looking shaky.
Government is apparently in talks - right at this moment - for a UK banking bailout plan of around £50 billion.

Anyone else thinking of taking some out of the bank and keeping a few extra quid at home right now?

[SalusLibrorum]

I'll probably get some tomorrow just in case, but since I pay everything with debit plastic it's going to be a culture shock to use real cash, plus since the government guarantees all my savings (I've just gone back to work after three years of no work/half hearted online selling/university so not much money anyway) there seems little point in worrying. My only worry is there might be a cash flow problems, because of everyone taking their money and causing them.

[damian_steele]

My only worry is there might be a cash flow problems, because of everyone taking their money and causing them.

It's catch-22, isn't it?
Too many people taking the money out could cause the problem we're hoping to avoid, but leaving it in may make it completely unavailable for three months whilst they pay out on compo claims if it all goes pear shaped.

I think I'd rather have some available "just in case" whilst leaving some in the bank to carry on as normal.

[SalusLibrorum]

It's catch-22, isn't it?
Too many people taking the money out could cause the problem we're hoping to avoid, but leaving it in may make it completely unavailable for three months whilst they pay out on compo claims if it all goes pear shaped.

I think I'd rather have some available "just in case" whilst leaving some in the bank to carry on as normal.

I agree, but I can't see a situation where I could get my hands on three months money and be happy to have that lying around in the house.

I think if I were worried about the liquidity of my bank (I'm not, my main bank account and savings isn't with one of those competitive cut throat enterprises that are so much in trouble now, I went for warm and friendly rather than super high interest) I'd move my money to one of the Irish banks, probably the Bank of Ireland, as you can do most transactions over the post office counter.

I wouldn't worry too much though, I did have some savings (which I was using to feed into my bank account while I was out of work) with Northern Rock when they went down the pan, and lost absolutely nothing, in fact apart from it being difficult to get at my money for a few days when I wanted to pay a credit card bill I wouldn't have noticed they had problems, from a customer point of view. It's a shame, they were fine until the run on the bank took them down.

[iwiw60]

Speaking from the US-side of things...I'd do what a lot of people are doing today.......YANK YOUR MONEY! Hearing rumbles today that there's a good possibility of 'bank runs' starting this week...aaaaack!

It's a very bad situation over here, and I hope that things don't get as dicey as they are here on this side of the pond...best of luck to all!

[kengillam]

Drawing your money out of a UK bank is pointless, what are you going to do stuff it under the mattress, the criminal fraternity will think all their Christmases have come at once!

[damian_steele]

Drawing your money out of a UK bank is pointless, what are you going to do stuff it under the mattress, the criminal fraternity will think all their Christmases have come at once!

How are they going to know? Do you think they're going to go to every house just in case someone has withdrawn all their hard earned readies?

[kengillam]

No, but pickings may be good for those unfortunate enough to have large amounts of cash in the house.

[damian_steele]

No, but pickings may be good for those unfortunate enough to have large amounts of cash in the house.

The day we stop having valuables in our houses because of fear of criminals, is the day the criminals have won.