Jump to content
House Price Crash Forum
Sign in to follow this  
rantnrave

FSCS Limit Returns to £85k

Recommended Posts

FYI

The Prudential Regulation Authority (PRA) has confirmed this week that the Financial Services Compensation Scheme (FSCS) protection level for deposits will be returning to £85,000 per person, per banking licence from 30th January this year. According to the FSCS, following this increase, 98% of savers will have full protection on their savings.

Share this post


Link to post
Share on other sites

People must have been taking their money out the banks.

I suspect thats more to do with low IRs than limits.

How long till we see a bank run/crisis caused by the low IRs ?

Share this post


Link to post
Share on other sites
23 minutes ago, TheCountOfNowhere said:

People must have been taking their money out the banks.

I suspect thats more to do with low IRs than limits.

How long till we see a bank run/crisis caused by the low IRs ?

Isn't it an amount denominated in Euros, and this update reflects the lower value of GBP?

Share this post


Link to post
Share on other sites

Yes definitely linked to 100,000 Euros...there is an EU wide agreement to cover depositors to 100K Euro or equivalent - I forget the detail but I have checked this before. 

Share this post


Link to post
Share on other sites
8 hours ago, TheCountOfNowhere said:

People must have been taking their money out the banks.

I suspect thats more to do with low IRs than limits.

How long till we see a bank run/crisis caused by the low IRs ?

This.

All the peer to peer sites have seen interest rate falls of 2 to 3 per cent in the last few months. Some have had to completely change their business models.There's a lot of money coming into what used to be regarded as risky investments.

Share this post


Link to post
Share on other sites
23 hours ago, TheCountOfNowhere said:

People must have been taking their money out the banks.

When the limit was reduced to £75k the argument from some on these pages went:

"They'very lowered the deposit protection amount - this must mean that people are withdrawing money and the government is seeking to reduce its losses"

The truth is always so much duller.

Share this post


Link to post
Share on other sites
15 hours ago, prodigal sheeple said:

This.

All the peer to peer sites have seen interest rate falls of 2 to 3 per cent in the last few months. Some have had to completely change their business models.There's a lot of money coming into what used to be regarded as risky investments.

You take money out of a bank account and give it to a p2p lender  (who puts it in their bank account ) and then you lend it to someone, who also places it in their bank account.

No money ever left the banking system.  All 3 transactions might even have taken place within the same bank and the money just been shunted from account to account.

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • The Prime Minister stated that there were three Brexit options available to the UK:   101 members have voted

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.