Cyprus Levy on Bank Accounts
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One of the suggested reasons given last year when HMRC delisted all registered 'Qualified Recognised Overseas Pension Schemes' in Cyprus was because of the lack of a proper regulator and a credible banking system. Perhaps we shouldn't be surprised at this.
Having said that, if the capital flight hadn't been stopped, the panic of August 2011 could have been triggered again.
Having said that, if the capital flight hadn't been stopped, the panic of August 2011 could have been triggered again.
C B,
No malice intended... In turn I have to say that although I read it, I missed the fact that post 5 was also written by yourself.
I suggest we're probably even on the "apologies" front...
No malice intended... In turn I have to say that although I read it, I missed the fact that post 5 was also written by yourself.
I suggest we're probably even on the "apologies" front...
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Apologies
Biggus, in that case old chap, my fault - ****ty end of stick at the end of a ****ty day. I salute you (with a large glass (or two) of rather fine Burgundy). CB sends
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@just this once #19
Its not so much a bailout, more a bail in. It sets a potentially worrying precedent doesn't it? It might even play into the BoE's hands which has been dropping hints about negative interest rates for a while now in an attempt to stimulate spending.
Why would the middle classes want to run the risk of bailing out those who haven't saved by keeping excess cash on account and paying their High Street bank for the honour and running the risk of being bailed in by the State.. if they may as well spend it on that extension/holiday/new car instead?
Why would the middle classes want to run the risk of bailing out those who haven't saved by keeping excess cash on account and paying their High Street bank for the honour and running the risk of being bailed in by the State.. if they may as well spend it on that extension/holiday/new car instead?
Yes, point well made and I see the point. From the response there must be folks there with significant sums in Cypriot banks. My apologies to them. I retract my statement.
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A2,
It won't be long before the Russians are buying up the shares that the people are being given in lieu of their money. It seems to me that its going to be the easiest way yet for Russia to buy influence in the region. Especially as the Cypriots have been courting the Russians in Moscow this week.
It won't be long before the Russians are buying up the shares that the people are being given in lieu of their money. It seems to me that its going to be the easiest way yet for Russia to buy influence in the region. Especially as the Cypriots have been courting the Russians in Moscow this week.
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This may seem a silly post. But please bear with an old man.
Back in 1962-64 when I did a tour at Akrotiri, there was a branch of Barclay's Dominion, Colonial and Overseas Bank, on the base and therefore within the Sovereign Base Area.
Is there a branch of Barclay's, or any other UK based bank, with a branch within the SBA and if so, how can any Cypriot law be applied to a bank in the SBA??
Mind you, I was living out in Limassol and had my account with Barclay's DCO on the seafront. But I believe that today no one lives out. All married guys have MQ's, don't they?
Back in 1962-64 when I did a tour at Akrotiri, there was a branch of Barclay's Dominion, Colonial and Overseas Bank, on the base and therefore within the Sovereign Base Area.
Is there a branch of Barclay's, or any other UK based bank, with a branch within the SBA and if so, how can any Cypriot law be applied to a bank in the SBA??
Mind you, I was living out in Limassol and had my account with Barclay's DCO on the seafront. But I believe that today no one lives out. All married guys have MQ's, don't they?
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One would think it will kill any foreign investment through their banks dead and may scare foreign investment off from European banks where they are not well regulated.
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ATMs emptied across Cyprus after savers learn 10billion euro bailout agreement includes levy on all bank accounts | Mail Online
According to the daily mail UK mil affected
According to the daily mail UK mil affected
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What did they expect, you start in effect stealing money from people to prop up the bank and people will simply withdraw their money en masse to protect their assests from being stripped anymore, resulting in the banks being placed in even a more precarious position which will in turn drive more people to withdraw their funds and it will rapidly become a downward spiral. Is it as it used to be in RAFG a requirement to have a local bank account?
Expats and UK troops based in Cyprus will have their savings decimated
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When I did my tour at Akrotiri in the mid 80s it was definitely a requirement to have a local bank account. If that is still the case I would say it's only fair that people are reimbursed. Interesting point about it applying to the SBAs. Having said all that there was never that much money left in my account after all the Kokinell and Kebabs. 6.75% of my overdraft wouldn't leave them much!
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Quote from the DM scaremongers
The UK’s Ministry of Defence declined to comment, but Government sources suggested Ministers were considering whether to help the British troops affected.
Read more: ATMs emptied across Cyprus after savers learn 10billion euro bailout agreement includes levy on all bank accounts | Mail Online
Follow us: @MailOnline on Twitter | DailyMail on Facebook
This is going to get pretty awkward.....
Anyone think that the Treasury will bail out HM Forces in Cyprus?
The UK’s Ministry of Defence declined to comment, but Government sources suggested Ministers were considering whether to help the British troops affected.
Read more: ATMs emptied across Cyprus after savers learn 10billion euro bailout agreement includes levy on all bank accounts | Mail Online
Follow us: @MailOnline on Twitter | DailyMail on Facebook
This is going to get pretty awkward.....
Anyone think that the Treasury will bail out HM Forces in Cyprus?
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After a good bit of prodding by the UK, the Bank of Cyprus joined our Financial Services Compensation Scheme (FSCS) to protect 50,000 British savers from Greek exposure. It had about £1b over here which was previously covered by their version of FSCS (written on the back of a fag packet). It did that, at the time, to reassure UK savers that their money would be safe if it ever collapsed, so the SBA angle is interesting. But this isn't a collapse of course not.. no, its a 'tax' - the country hasn't collapsed 
at all).
I don't think that Cyprus has any option though - it forgot the basics of growth and if you take shortcuts, there is always a payback. This crisis just accentuates the distrust (mistrust?) and shreds decades of financial integration. It is interesting that on the surface at least, the Germans have been arguing that this is a way of getting some of that laundered Russian money. In that case, chase the guilty to get 100% of it?
I don't imagine that many serving out there who will be too badly exposed, unless they have loans/funds parked in cash before buying a car etc. Like you, I didn't have too much money in the Pop at any one time - the bank manager used to call out across a crowded bank 'Hey, you.. when are you going to start banking with us again eh?'.
But maybe we preferred our banks like that; small, comfortable and normal.
at all). I don't think that Cyprus has any option though - it forgot the basics of growth and if you take shortcuts, there is always a payback. This crisis just accentuates the distrust (mistrust?) and shreds decades of financial integration. It is interesting that on the surface at least, the Germans have been arguing that this is a way of getting some of that laundered Russian money. In that case, chase the guilty to get 100% of it?
I don't imagine that many serving out there who will be too badly exposed, unless they have loans/funds parked in cash before buying a car etc. Like you, I didn't have too much money in the Pop at any one time - the bank manager used to call out across a crowded bank 'Hey, you.. when are you going to start banking with us again eh?'.
But maybe we preferred our banks like that; small, comfortable and normal.
I'm posted to Cyprus this Summer and this really worries me. I can't see how HMF there can be compensated bearing in mind they're actually getting something for their money, shares in the bank they're with. I know these shares are worthless but it is still something tangible. The British tax payer would have to buy these shares from the servicemen in order to compensate them.
Last edited by 4everAD; 17th Mar 2013 at 08:53.