# savings with INBS



## cavanMan (3 Oct 2010)

Hi there!!

we currently have €100.000 with INBS on a one year fixed account until mid january!! with all the talk about INBS closing etc wud it be wise to withdraw the money now and get what ever interest or stick it out till January!!

all advice most welcome


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## Wig (3 Oct 2010)

What you need to ask yourself: 
Where will the government get the 4 billion to pay back INBS deposit holders? 
Does this 4 billion actually exist?
Will the German's tap the financial markets when we ask for help in January? (The IMF/EC bail out package is just a piece of paper).
People are pulling money out of AIB and other state banks. Do you want to be at the end of the queue if the worst happens?

The risk is too high to hold money in any Irish state bank.


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## agencydude (3 Oct 2010)

Hi Wig
You say :_'People are pulling money out of AIB and other state banks left right and centre_.'
 Have you actual proof that this is happening? If so ,what proof have you got?
 Do you work in AIB or some other state bank?


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## Bobby1 (4 Oct 2010)

agencydude said:


> Hi Wig
> You say :_'People are pulling money out of AIB and other state banks left right and centre_.'
> Have you actual proof that this is happening? If so ,what proof have you got?
> Do you work in AIB or some other state bank?


 
Agree with you agencydude, wig have you actual proof this is happening, as without proof, you should not be making these statements as they are very damaging, and will only fuel the fire sort of speaking to worrying people to withdrawing funds from banks etc...


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## Expat64 (4 Oct 2010)

Some indirect evidence here. I wonder what his source was?

guardian.co.uk/money/2010/sep/30/anglo-irish-bailout-savers-protection

"The Irish government has long claimed that customers with savings  in all of Ireland's major banks are safe. It extended a 100% deposit  guarantee to all Irish-owned financial institutions in 2008 until 29  September 2010, and this has recently been extended to the end of the  year. *But panicked savers have continued to withdraw their cash – in the  first half of this year customer deposits fell by more than €5bn to  €23.1bn*."

That's nearly 20% gone in six months.


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## Lightning (4 Oct 2010)

There is plenty of evidence of the Irish state banks losing deposits. As per my posting in the other thread, Anglo for example, have lost 50% of their deposits in 2 years. INBS have lost 40% of their deposits. This is public information that is available for all to read in their accounts. 

The AIB 2010 Accounts for Jan to June 2010 point to 5 billion in corporate deposit exits, but growing consumer deposits, but overall negative deposit growth. The Sunday Tribune article last Sunday, stated AIB was losing significant corporate deposits. There are also dozens of postings on AAM that point towards 'state bank withdrawals'.  The state bank inflated deposit rates, especially in Anglo/INBS/AIB offshore etc also speak volumes about what they are having to do to attract deposits. 

All evidence. I don't see any point in pretending that it is not happening any more.

Having said this, the Irish state is propping up the banks with huge support and it would still, to me, seem unlikely that any saver in an Irish state bank will loose money, but the risk is not zero.


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## roker (4 Oct 2010)

I was reading that the Credit Union had been more sensible with their lending, would it be safer to put our money in the CU?


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## Lightning (4 Oct 2010)

CU arrears are soaring, many CU's are having serious solvency issues and there are viability issues. 

Your money is not safer in a CU. Your money is safer in NUK/NR/Rabo/Non Irish state banks.


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## Palerider (4 Oct 2010)

FAO Cavanman, leave your money in INBS, it is State Guaranteed, If you break it then you will lose interest, certainly enquire what the penalty is but leave it, if there is a wind down and If we still have a sovereign Government then you will get your principal back and at worst you may lose your interest, I'm speaking as a fixed account holder with both Anglo and INBS, just don't exceed the guarantee.

Burying your cash in a box in the garden also exposes you to risk, in fact doing anything with it exposes you to risk, In my opinion this is overdone but each man to his own...


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## Complainer (4 Oct 2010)

CiaranT said:


> CU arrears are soaring, many CU's are having serious solvency issues and there are viability issues.
> 
> Your money is not safer in a CU. Your money is safer in NUK/NR/Rabo/Non Irish state banks.



Is this a bit of a generalisation? What % of CUs have serious solvency issues?


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## Lightning (4 Oct 2010)

As per a recent Irish Times article, "many credit unions are facing serious solvency issues". There are too many sets of accounts to put a percentage on it.


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## Complainer (4 Oct 2010)

CiaranT said:


> As per a recent Irish Times article, "many credit unions are facing serious solvency issues". There are too many sets of accounts to put a percentage on it.



I don't think your conclusion of "Your money is not safer in a CU. Your money is safer in NUK/NR/Rabo/Non Irish state banks" stands up unless you can speak to the % of CUs in difficulty.


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## cavanMan (5 Oct 2010)

Thanks Palerider for your reply


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## Expat64 (6 Oct 2010)

CiaranT said:


> There is plenty of evidence of the Irish state banks losing deposits. As per my posting in the other thread, Anglo for example, have lost 50% of their deposits in 2 years. INBS have lost 40% of their deposits. This is public information that is available for all to read in their accounts.



Does this count as 'deposit flight'! BL doesn't think so.

independent.ie/business/irish/we-will-paddle-our-own-canoe-lenihan-2366472.html

Questioners also wanted to know about how strong bank funding was at present. "Retail deposit flight, I don't see that as a great danger," he said. "I haven't seen any evidence of retail deposit flight," he added, saying that customers here had long-term relationships with their banks built up over decades.


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## Lightning (6 Oct 2010)

BL says what he thinks he needs to be said to protect confidence. The accounts speak for themselves.


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## megabyte (7 Oct 2010)

How safe are the one and two year fixed Rate bonds.Due to mature next April 2011.


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## Lightning (8 Oct 2010)

Huh? INBS sell term deposits for fixed periods, not bonds with a fixed maturity date. 

Given the uncertainty of the future of INBS, the 2 year term would not be the considered, by many, the safest of investments.


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## megabyte (11 Oct 2010)

Ciaran T they are both Fixed Rate Interest Bonds both mature in April 2011. One  was invested for one year from 2010 to 2011 the other after been in two years from 2009 to 2011. They have been rolling over for the last ten years. So it is best to pull them out in April.


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## megabyte (20 Oct 2010)

Ciaran T could you or anybody give me your thoughts on my last post.What is the best thing to do. Pull them out in April??


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## Marietta (20 Oct 2010)

megabyte - I don't think anybody can advise you here, it is really up to the level of risk you are willing to take. Things are changeing on an almost daily basis and it is very difficult to predict what might or might not happen. 

I had an instant access account with INBS and closed it last week and moved to Nationwide UK Ireland, my new account was opened in a matter of days.  You need to find out how much it will cost you if you decide to close your term account 5 or 6 months before its maturity date.  However, if you want peace of mind and you are very worried about the risk of losing your savings then it will be worth your while to move it, €100,000 is an awful lot of savings to have within one financial institution and maybe you should diversify.


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## megabyte (21 Oct 2010)

Marietta you have mixed me up with cavan man i don't have as much as him but a few thousand all the same.
The problem with the fixed Rate Bonds is that they will not let you withdraw money until the fixed rate is up.Anyhow I plan on closing the accounts once they mature in April.Thanks for all your replys.


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## Marietta (21 Oct 2010)

Megabyte - my apologies I should have read the thread properly


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## pAnTs (21 Oct 2010)

Marietta said:


> megabyte - I don't think anybody can advise you here, it is really up to the level of risk you are willing to take. Things are changeing on an almost daily basis and it is very difficult to predict what might or might not happen.
> 
> I had an instant access account with INBS and closed it last week and moved to Nationwide UK Ireland, my new account was opened in a matter of days.  You need to find out how much it will cost you if you decide to close your term account 5 or 6 months before its maturity date.  However, if you want peace of mind and you are very worried about the risk of losing your savings then it will be worth your while to move it, €100,000 is an awful lot of savings to have within one financial institution and maybe you should diversify.



Marietta can you tell me where there is a Nationwide UK Ireland branch?? also I was wondeirng what your thought were on stocks and shares in AIB I have 12,000 in an account which I am still paying into!! is this bonkers to leave it there?


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## DrMoriarty (22 Oct 2010)

(a) There isn't a branch network, just an office on the North Wall (as their [broken link removed] indicates).

(b) We don't discuss individual shares on AAM.


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## Lightning (22 Oct 2010)

They are opening their first branch near Stephen's Green, beside Bang Cafe, in a few weeks. Their Spencer Dock office acts like a branch.


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