Moving money from UK to IE. What safe product to move the cash to?

Tastebuds

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Say you have a bunch of cash in UK deposit accounts that you want to move to Ireland as a Brexit protection measure...
The cash is supposed to be used to buy a house in the near future... where would you do move the cash to?
  • Irish bank deposit accounts have very poor interest
  • The stock market is too risky right now
  • In a current account, you are afraid of the sum not being covered by the bank guarantee
Any idea apart from the state saving products?

Thanks
 

Saavy99

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i would be inclined to leave it in the UK at this stage. You have left it a bit late to think of moving it now.
 

Marc

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Sterling has lost nearly 1%pa compared to the USD since 1955, we should hold on a little longer before we can spot a trend!
 

Leo

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How near is the near future? That timeline might rule out most investment options due to entry or exit costs. If you're concerned about the bank going bust and all your funds not being covered by the guarantee, open multiple accounts across different banks.
 

so-crates

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You aren't moving the money in order to make money on it, you are moving it in order to lock in a value in euros (esp. in case of any sterling slide) so as to purchase property with it.

Look at it this way, you are already speculating and taking a risk because you are changing currency!
 

Tastebuds

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How near is the near future? That timeline might rule out most investment options due to entry or exit costs. If you're concerned about the bank going bust and all your funds not being covered by the guarantee, open multiple accounts across different banks.
re near future: I am waiting for the economy to settle before buying a house. Too many uncertainties at the moment in the economy: German recession, Brexit, USA-china war trade ...

re concern: yes, that is my worry. bank guarantee not covering the amount

Thanks
 

Tastebuds

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You aren't moving the money in order to make money on it, you are moving it in order to lock in a value in euros (esp. in case of any sterling slide) so as to purchase property with it.

Look at it this way, you are already speculating and taking a risk because you are changing currency!
The money in those accounts is not in GBP. It is mainly USD and also some EUR
But of course, the USD part is speculation
 

Tastebuds

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i would be inclined to leave it in the UK at this stage. You have left it a bit late to think of moving it now.
Why is it late?
If I am worried about post-Brexit consequences . Why would it be late to transfer the cash from UK to IE?

Cheers
 

EmmDee

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The money in those accounts is not in GBP. It is mainly USD and also some EUR
But of course, the USD part is speculation
Well - the EUR you can just transfer back to your account here no problem. The EUR rate won't be any better in the UK I can't imagine. I have a USD account with BoI. I'm sure most of the main banks will operate currency accounts. So you can probably transfer that as well.

Generally they will pay rates based on the currency rather than the location of the bank.
 

Gordon Gekko

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Just open multiple bank accounts at the guarantee level.

Don’t invest the money as you have a clear need for it within less than five years so you can’t take the volatility.

Just fire ahead and buy the house if it makes sense to do so from a practical real world perspective; Trump, noise in the media, Brexit are not relevant. It’s just hot air propagated by journalists and cynical fear mongers.
 

joe sod

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Sterling has lost nearly 1%pa compared to the USD since 1955, we should hold on a little longer before we can spot a trend!
Is that not just timing though, because sterling is at multi year lows now, and the dollar near its highs now, the dollar is flattered in that statistic. I doubt that statistic would work back in 2012 when the dollar was dramatically lower and sterling at its highs. You could also do a similar statistic for other european countries seen as the euro is also at multi year lows against the dollar . Like all statistics the starting and end points are the most important factors
 

Marc

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It doesn't seem to make that much difference

3997



3998



This is my central argument, Sterling has lost value consistently since the 1950s

3999
 

joe sod

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But you would probably see an even more dramatic depreciation, if using French franc, Italian lira. Spanish peseta as your base currency. Is it not just a reflection of the dominance of the US economy and technology in relation to the old European economies. Europe was much more dominant economically before the 1950s therefore the depreciation of currencies in relation to dollar is not UK specific.
It's worth remembering that the euro has depreciated 30 percent against the dollar since 2012. Then all the talk was about the death of the dollar and it was the hated asset, nobody wanted us dollars, it was all about euros, Canadian dollars etc.
 

joe sod

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fair play marc, im a bit surprised actually, I knew germany and netherlands were outliers being strong industrial performers but still surprised their currencies appreciated so much against dollar, whats the story with belgian franc !! were they trying to ape germany by shadowing the deutchmark, it looks like the belgian franc was an overvalued currency then. Really surprised the british have actually been currency devaluers all this time along with spain and italy.
It looks like that is the british gameplan devalue even more to counter the effects of brexit, that poses a huge problem for us. We will have to prostrate ourselves even more to american capital while our indigenous industry withers on the vine if the pound continues to devalue.
Very informative thanks
 

Tastebuds

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Just open multiple bank accounts at the guarantee level.

Don’t invest the money as you have a clear need for it within less than five years so you can’t take the volatility.

Just fire ahead and buy the house if it makes sense to do so from a practical real world perspective; Trump, noise in the media, Brexit are not relevant. It’s just hot air propagated by journalists and cynical fear mongers.
I think that state savings and/or multiple bank accounts might be the way to go

I am planning to buy a house within the next couple of years so not speculating with that money is a good idea. Prices are high at the moment and there is a chance they might go down, but I agree with you that a house has personal real-life value.

My compromise/plan is monitoring the economy and being ready to buy within the next 2 years. If prices decrease, I'd buy, and if they don't with all the financial turbulences going on... I'll accept the prices, buy it based on personal value anyway and don't look back
 
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