# Moving deposits abroad, what's your opinion on pros and cons?



## Godfather (24 Oct 2010)

Hi everyone, when I moved my deposits back to Italy around a month ago (where I'm from) I had to fill in a form in order to be exempt from any capital-gain taxation in Italy so that I was going to be taxed in Ireland in case I was reselling with some profit. I learned some pros and cons:
Pros:
- as I'm from Italy at the moment I preferred to keep my savings there because I haven't settled in Ireland and I could move back there one day, so it's better too keep your savings where most of your attention is. So that if the italian Lira comes back I'll be connected to its fluctiations like every other italian...
- Italy is still on the G8 although its S&P rating is lower than Ireland and the country is still part of the "piigs" acronym
Cons:
- much lower interest rates: approximate to zero, that's why I subscribed to some liquidity funds with low risk like the ones connected to the bonds of the strongest countries in Europe
- the commissions/fees in the italian banks are a true pain (at least 25/30 Euro/quarter between c/a and investment account connected to it)
- I'm still subject to taxation in Ireland, hence why they got me to subscribe the form for tax exemption

To the people who moved some money abroad, what's your opinion on the pros and cons? I know some people moved their money to Barclays France, or to a Bank in Belgium, or to the Isle of Man, I would be interested in their opinions now that some of their savings are settled abroad.

Any comment is very welcome!


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## Bcommercial (1 Nov 2010)

I also set up some accounts abroad which are ready should the need arise, but apart from the Belgian one I haven't transferred funds into any of the others yet. Whether it's 1.65% or 2.05% @ keytrade, it's still a lot less than my 3.55% from before @ INBS, and so the price for the relative increased security of savings is in effect a halving of the interest rate being earned. But as it's too risky to try and hold onto the higher Irish rates for as long as possible, the opportunity cost of forgone interest payments is a cost we knowingly accept. Because, if the proverbial ever does hit the fan, it'll be a fait accompli that we hear about after the event, when the banks have closed and it's too late to do anything about it.

One thing I'm still not clear about however, is how the interest earned is to be taxed. I've seen conflicting posts on this, some that it will be taxed at your marginal income tax rate, others that you will pay Irish dirt rates on it...here's a thread.

http://www.askaboutmoney.com/showthread.php?p=1099066#post1099066


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## bpb52 (13 Nov 2010)

The strongest country in the EU is Germany.

Anyone any ideas as to how we purchase German Govt Bonds ?


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## Bcommercial (13 Nov 2010)

bpb52 said:


> The strongest country in the EU is Germany.
> 
> Anyone any ideas as to how we purchase German Govt Bonds ?



[broken link removed]


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## Knuttell (14 Nov 2010)

How long does it take for a transfer from an Irish bank to arrive in a Belgian Bank (Key trade)?

What are peoples experience with dealing with them?


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## Bcommercial (14 Nov 2010)

Knuttell said:


> How long does it take for a transfer from an Irish bank to arrive in a Belgian Bank (Key trade)?
> 
> What are peoples experience with dealing with them?



Usual 3 working days I'd say, unless you specify same day transfer but not sure if that costs extra (er..probably!). Up to 50k free within euro area along with IBAN & BIC, or more accurately, at the same cost your bank charges you for internal national transfers.

Haven't heard any complaints about them yet. Upon receipt of your docs you'll get an instant email with your initial a/c number, but it will take at least another full week before you receive all the necessary logon details etc to access your account, which all arrive separately by post. If you're, er, overly concerned due to the current situation, you can always make an immediate transfer to the a/c # upon receipt of the initial email, and just wait till all the logon details arrive to access it online.


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## niceoneted (14 Nov 2010)

Just reading through this and a few other threads and consulting the revenue site re tax implications and understanding them I am now considering moving some money abroad. 
Anyone know the best/ easiest bank to do this with. Want to keep it in Euros and initial amount will be about 20/30k


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## Bcommercial (14 Nov 2010)

http://www.keytradebank.com/en/banking

definitely the easiest option


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## Expat64 (14 Nov 2010)

I see on their website that they belong to France's largest bank:

"Today, Keytrade Bank is part of the Crédit Agricole Group, one of  Europe's largest banking groups (total assets of € 913 billion and own  funds of € 66 billion)."


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## Knuttell (14 Nov 2010)

Bcommercial said:


> Usual 3 working days I'd say, unless you specify same day transfer but not sure if that costs extra (er..probably!). Up to 50k free within euro area along with IBAN & BIC, or more accurately, at the same cost your bank charges you for internal national transfers.
> 
> Haven't heard any complaints about them yet. Upon receipt of your docs you'll get an instant email with your initial a/c number, but it will take at least another full week before you receive all the necessary logon details etc to access your account, which all arrive separately by post. If you're, er, overly concerned due to the current situation, you can always make an immediate transfer to the a/c # upon receipt of the initial email, and just wait till all the logon details arrive to access it online.



Thanks for this useful information Bcommercial.


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## Chris (14 Nov 2010)

Knuttell said:


> How long does it take for a transfer from an Irish bank to arrive in a Belgian Bank (Key trade)?
> 
> What are peoples experience with dealing with them?



I've been a happy customer for about 2 years now. Transfers have usually taken about 2 days if you do it before 11am. Deposit guarantee is €100k (was €20k) and equities are guaranteed for €20k.


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## Bcommercial (15 Nov 2010)

Hi Chris

Would you know a bit about their foreign exchange rates? I enquired recently about converting some euro to chf with them and they won't quote the exchange rate you'll be getting but only tell you the last rate they were giving as a rough guide, ie they have 2 daily rates set at 09.00 & 16.00, so if you buy after 9am you'll be getting the next 4pm rate, buy after 4pm you'll be getting the next day's 9am rate. They say it's always "usually around" 0.5% of the total sum for each conversion, so "usually around" 1% total cost after you convert back again sometime in the future (hopefully after a modest gain). Would this 0.5% be a normal or acceptable rate, and also to be exchanging without being told the rate unnerves me slightly I must say. Any ideas?


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## galleryman (15 Nov 2010)

TO anyone who opened a Keytrade a/c

What does a "Mandatory" mean on the accounts?  I want to open a joint a/c with my wife, does that make her Mandatory 1?

Thanks


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## DrMoriarty (15 Nov 2010)

No, the Frenglish is a bit dodgy in Keytrade's documentation. 
Here it means someone legally 'mandated' to act as your representative (e.g. a solicitor), who would have signing authority on the account.


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## galleryman (15 Nov 2010)

Thanks for that.


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## Bcommercial (15 Nov 2010)

I'd say it would depend on how you answered the preceding 2 Q's, "Will you use your a/c for everyday & regular operations?" & "What will be the nature of the operations on your a/c?". As long as such phrases as money laundering or tax evasion are not included in your answers then it's just a formality they're legally required to fulfill and I wouldn't worry about it too much. However, some sort of numerical figure to answer Q1 would be perhaps advisable.
And yes, I'd say everything should be filled in to avoid delays, and the "correct" answers are simply your own...don't worry about it!


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## Chris (16 Nov 2010)

Bcommercial said:


> Hi Chris
> 
> Would you know a bit about their foreign exchange rates? I enquired recently about converting some euro to chf with them and they won't quote the exchange rate you'll be getting but only tell you the last rate they were giving as a rough guide, ie they have 2 daily rates set at 09.00 & 16.00, so if you buy after 9am you'll be getting the next 4pm rate, buy after 4pm you'll be getting the next day's 9am rate. They say it's always "usually around" 0.5% of the total sum for each conversion, so "usually around" 1% total cost after you convert back again sometime in the future (hopefully after a modest gain). Would this 0.5% be a normal or acceptable rate, and also to be exchanging without being told the rate unnerves me slightly I must say. Any ideas?



No, I don't know about the exchange rates, sorry.


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## Savvy Row (3 Dec 2010)

I was thinking of moving some cash abroad - my fear would be that if the Euro breaks up, we in Ireland will be shafted. If I had an account in Keytrade (Brussels), would the contents of the account be repatriated if the Euro split and we reverted to the Punt (or to an inferior version of the Euro)?

There is a view some hold that if currency restrictions were imposed, the Irish authorities would trawl for Irish accounts abroad and force them into the new Irish currency. Is this what would happen? Anyone know?

Any views on this would be appreciated.


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