That’s my take on it. I have a giant wedge in Irish banks. If they grab 10% of it I’ll still be ahead, because I did the sensible thing and locked in high rates last year. At 20% I’ll be taking a loss, but less than what I would have risked with any other approach. I’d definitely prefer a raid to creeping inflation which could completely kill me over time. Obviously my preferred option would be for the thieving f*ckers to keep their grubby paws off it altogether.
I think PP is a much safer bet than full tilt poker for my purposes. Also, when I logged back in just now I got an ad for “Safety Deposit Boxes” somewhere in Dublin (still prefer PP).
Surely you’d be better with a TD Waterhouse account if you want to give your money to an unguarateed institution?
If you put it in the governments ‘Solidarity’ bonds - would they really dare to take it? Are they really that stupid? Ok - I know.
The other possibilitY I have thought of is a stock-broking account - how would that be treated?
EDIT: and another thought - bank drafts - (or cash) in a safe deposit box These guys cost €300 per year - merrionvaults.ie/prices/
This is the same piece I linked to last month
There’s loads of offshore options for your money – HSBC Premier is excellent. All you need is to find one outside the Eurozone.
No - not if they’re sovereign debt - which presumably they are. They won’t default on them until long after they haircut deposit holders.
That makes it sound like a deposit haircut is a tax on being stupid enough to give money to a risky institution. If that’s the case, will such a haircut only apply to deposits with particular institutions that get into trouble, rather than a grab from all deposits in all banks trading in Ireland?
Deposit holders under 100k? If the bonds* are held by Irish residents then they can be haircut one way or another, e.g. a levy, without disturbing foreign bondholders.
I reckon they’re in the same safety-ballpark as (say) BOI deposits under 100k.
- which they’re not AFAIK since they’re not tradeable and don’t pay a coupon, but I defer to your expertise on that
I recall a couple of years ago some people in UK were reported as pre paying and overpaying tax to HMRC and collecting interest on it
not sure what the interest rate is in Ireland
If that doesn’t work, try this 2nd one
I make that 5.8765% per annum
^^ I don’t think so.
“Revenue may pay interest on refunds of VAT to a claimant in two circumstances i.e. where there is a mistaken assumption in the operation of the tax made by Revenue or where there is a delay of more than 93 days in processing a fully completed claim. Simple interest is calculated from the date on which the amount becomes payable and is chargeable at a rate of 0.011% per day, or part of a day, during which the amount remains unpaid. Interest will not be paid where it amounts to less than €10 or where any interest is paid due to the provisions of other legislation.”
You won’t earn interest just by chucking loads of money at them.
Besides which, throwing money at the State because you don’t trust them to honour a guarantee is a bit bonkers.
Hmm…a sort of, because-we’ve-all-been-f**kwits tax ?
Call it the Universal Stupidity Charge or USC…er…hey! hang on…
I wish to move savings out of reach of the possible bank levy in 2014.
I contacted HSBC premier and I would have to make way up to a branch in the North to open an account with them. Also they want me to have my salary going into a HSBC account.
Is there a slightly easier alternative??? Are there banks that allow one to open an account without visiting a branch??
nationwide uk offer accounts also online without this much hassle I believe
That would be Nationwide UK (Ireland) presumably. An Irish subsidiary, so your money is in Ireland for all intents an purposes.
HSBC Offshore — you can open it through the post. Excellent too. And outside the Eurozone . . . . . obviously key.
is HSBC Offshore the same as HSBC Expat?
from the faq above the deposit guarantee is 50k and total compensation is limited to 100m over a 5yr period. The uk guarantee doesn’t apply
Yeah they rebranded, it was HSBC Offshore for years . . . expat is probably a bit more “pc”.
Yes, upsides and downsides to being offshore; I rather the upsides.
Financial and Sovereign Debt Crises: Some Lessons Learned and Those Forgotten - Carmen M. Reinhart and Kenneth S. Rogoff ->