# Ulster bank 1 Year Sterling Acount



## blueeyes (9 Mar 2011)

Hi 

I have 100,000 Euro  to invest and am considering opening an Ulster Bank 1 Year
Fixed Ac in Northern Ireland. It pays 3.1%.
I have concerns about the future of the Euro and deposits with Institutions which operate in the State.
Would opening a sterling ac in Northern Ireland answer some of my concerns ?


----------



## Lightning (9 Mar 2011)

If you are concerned about the future of the EUR, then of course having your savings in GBP removes the EUR currency risk.


----------



## blueeyes (9 Mar 2011)

Thanks for your reply.
Do you think is it safer to have a Sterling Ac with Ulster bank Northern Ireland than having a sterling ac in the state ?
Thanks


----------



## Bigmc (9 Mar 2011)

Hi Blueeyes

Im not sure of the answer to your question but im just wondering if you go to the north to invest your money I asume you are converting your €100,000 to punts sterling.

Todays rate is 1 EUR = 0.858634 GBP which means you will have 85,863 pounds sterling invested for 1 year.

This seems quite riskey to me as nobody knows what the exchange rate will be in 1 year or whenever you want to convert it back to euro. the euro could drop in value alot over 1 year.

im sorry as this is no answer to your question but its all thats stoping me from taking my saveings across th border to. Maybe im missing something here??


----------



## Palerider (9 Mar 2011)

Currency exposure is a problem also having a sterling account with Ulster in the south is not worthwhile as they pay 0% on their sterling deposits.


----------



## blueeyes (9 Mar 2011)

Thanks for your reply. I am more concerned about the State freezing bank accounts in a default situation than currency risk from holding a sterling ac in Northern account. Also I would like to diversify out of the euro. I am not sure if account with Ulster Bank Northern Ireland is the answer.
Thanks again


----------

