Tuesday, 7 October 2008

Ice Block

So here we have it at last... depositors unable to withdraw their savings. Sounds like the runners are on the blocks:

Q&A: What now for Icesave depositors?

The 300,000 UK savers with £5 billion deposited in Icesave, the Icelandic internet bank, today found they were blocked from withdrawing any money from their accounts.

Q: When will I be able to withdraw my money?
A: Nobody knows.

Q: How likely is that scheme to be able to pay out, given the upheaval in the Icelandic banking system?
A: Good question. The Icelandic scheme has only £88 million in the kitty to cover deposits totalling £13 billion.

Q: What happens if the Government can’t pay the compensation bill?
A: An Icesave spokeswoman says that, as a last resort, three other Scandinavian governments - Sweden, Norway and Denmark - would back Iceland in an emergency.

If i was a financial advisor i would be telling ALL my clients to WITHDRAW ALL SAVINGS IN CASH immediately.

No comments: