# Deposits in Anglo-Irish - what to do?



## robbinghudd (1 Feb 2011)

Over four decades working, I have saved some money and have it all on deposit with Anglo-Irish Bank.

Is it safe to leave it there or should I start moving it now? I'm not too concerned about interest at the moment - more about the safety of my capital.

Thanks in advance for advice.


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## bluemac (1 Feb 2011)

Personally I think the fact that you have to ask answers your own question..


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## robbinghudd (1 Feb 2011)

I just joined this board this morning and reading the guidelines about politeness, etc., I was naive enough to expect helpful replies. Too much to expect it seems.

Is there some point in your reply bluemac?


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## duchalla (1 Feb 2011)

Hi robbinghud,

Think you migh be a bit unfair on bluemac, dont think he's trying to be smart. Anyway, If I were you, I'd definitely be moving my deposits out of Anglo, maybe even out of the Irish Banking system altogether. might be worth considering opening an account in a German of French bank, you wouldnt get as good an interest rate for your deposits, but your capital would certainly be safer.


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## papervalue (1 Feb 2011)

What amount of savings in general do you have?

If over €100k mark be worth putting excess of €100k in different banks and maybe keep all accounts under €100k limit to continue guarantee

If i was in your position I would spread it over a number of banks to spread the risk if any and not have all eggs in one basket so to speak.

Maybe give idea of figure you are talking about and others could tell you exact bank to put in


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## horusd (1 Feb 2011)

robbinghudd said:


> Over four decades working, I have saved some money and have it all on deposit with Anglo-Irish Bank.
> 
> Is it safe to leave it there or should I start moving it now? I'm not too concerned about interest at the moment - more about the safety of my capital.
> 
> Thanks in advance for advice.


 
You might consider 2 options: 


Leaving money in IRL & getting best rates. Maybe spread it around various institutions for add'l safety.  See Best buys on AAM key posts deposits.

Look at moving it out of IRL altogether, either to foreign EU bank (I.E. GER/LUX/BEL/FR), or, if you have Euro concerns, out of the Euro altogether to other currencies like $/£. There are lots of posts relating to this on AAM.
Either way, it's a personal decision,and you will see various arguments & opinons on these to help you weigh up your options.  But it would seriously concern me to have all my money in any one IRL institution.


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## robbinghudd (1 Feb 2011)

Thanks very much guys. Yes, it's a bit too much to have in one basket. Must read up a bit about opening accounts in sterling. 

Seriously, I have no idea what bluemac meant!


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## Lightning (1 Feb 2011)

Your OP said "you are not too concerned about the interest rate". If that is the case, there is no reason to have any money in Anglo. Anglo are junk rated by the credit agencies and are dependent on the ECB, CBI and the Irish state for ongoing survival. 

If you have any questions after reading the best buys let us know.


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## camlin90 (1 Feb 2011)

CiaranT said:


> Your OP said "you are not too concerned about the interest rate". If that is the case, there is no reason to have any money in Anglo.


Well apart from the fact that they're a bank that offer efficient and pleasant customer service (versus other banks) and a good online/telephone banking service.



> Anglo are junk rated by the credit agencies


I was under the impression the OP holds a deposit, not a subordinated bond. Deposits are guaranteed by the Irish state, so effectively the Irish sovereign credit rating applies, which is not quite junk.



> and are dependent on the ECB, CBI and the Irish state for ongoing survival.


As are you if you use any Irish banking service, use any business that relies on the Irish banking system, work in the public sector, rely on public transport, hospitals, schools, ESB Networks or any other service provided by the Irish state.

We're all in this together lads. Try hedging all those risks and then come back to me.

Typical sensationalist nonsense that is passing as "balanced advice" on this site, unnoticed by the usually sensitive radars.


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## Lightning (1 Feb 2011)

camlin90 said:


> Well apart from the fact that they're a bank that offer efficient and pleasant customer service (versus other banks) and a good online/telephone banking service.



The deposits are days/weeks away from been transferred to a different bank. The deposits are not staying in Anglo. You will shortly have new staff in a different bank to deal with.



camlin90 said:


> I was under the impression the OP holds a deposit, not a subordinated bond. Deposits are guaranteed by the Irish state, so effectively the Irish sovereign credit rating applies, which is not quite junk.



Sovereign debt in Ireland is very close to being rated junk and default is a very real possibility. The credit ratings do not exclusively deal with subordinated debt, they provide a guide to the health of the bank. Junk does not equal a good healthy bank.


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## Pauliwalnuts (1 Feb 2011)

camlin90 said:


> Well apart from the fact that they're a bank that offer efficient and pleasant customer service (versus other banks) and a good online/telephone banking service.
> 
> I was under the impression the OP holds a deposit, not a subordinated bond. Deposits are guaranteed by the Irish state, so effectively the Irish sovereign credit rating applies, which is not quite junk.
> 
> Typical sensationalist nonsense that is passing as "balanced advice" on this site, unnoticed by the usually sensitive radars.


 
The Irish State guarantee is not far from being junk. If the Irish Sovereign was as credit worthy as you seem to believe then why were the bond markets so loathe to lend us money except at extortionate rates, to the point where we had to go cap in hand to the IMF.

Somewhere down the road the fat lady will sing & Ireland will default. I'd rather have my money in a bank that just a little bit safer than Anglo Irish.

It's not sensationalist advice. It's a fairly simple reflection of the facts.


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## Conclo (1 Feb 2011)

I recently split the money i had in Anglo in to Nationwideuk and Investec......Anglo served it's purpose for me in so far as I had money on fixed deposit for 1 yr at 5.6% and then for a subsequent year at 3.5% ....got too nervy then and shifted the few bob pronto....ithe only reason I moved to Anglo to begin with was to avail of the decent interest.....but have to say the staff are excellent, my own local bank coudl learn a thing or two from them


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## Palerider (2 Feb 2011)

I was also with Anglo and have moved to Investec. UK Govt guarantee covers Investec up to stg £85,000 per depositor, that is stg £170,000 for a joint account or about €200,000, you are not exposed to Irish Govt.

I called them yesterday and was told their online 3.6% rate was to be pulled last Friday so I cannot say if they will accept any new accounts, I would say they would.

As in all these matters a  degree of balance is required, If we all abandon ship with our funds then we all sink, I never saw myself as a socalist but who knows maybe I am starting to think that way.


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## Lightning (2 Feb 2011)

Palerider said:


> If we all abandon ship with our funds then we all sink.


 
This has already happened. A majority of depositor's have abandoned ship in Anglo (about 73%). There has also been a massive deposit exodus, on a lower scale thus far, from the Irish banks. 

The questions is now: How much more liquidity can the Central Bank of Ireland pump into the Irish banks before the CBI itself is declared insolvent. The Sunday Business Post, the Irish Independent, Citi, the FT and Brian Lucey have all recently raised questions as to the finite nature of the CBI ELA support.


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## Palerider (2 Feb 2011)

Let me clarify my reference to abandon ship refers entirely to those individuals who have already moved funds out of the country thereby abandoning this little ship we call Ireland and not to the exodus of deposits from Anglo.

Suggesting Euro deposits go Overseas was mentioned as an option within this hread, I explored it myself and exchanged e-mails with Deutsche Bank in Germany but ultimately it came down to leaving the funds in Ireland and a spread of the risk across Irish Govt guarantee and UK Govt guranatee with a lean towards the UK guarantee but the funds remain in Ireland, each to their own of course


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