PTSB & BoI

Hi i'm thinking of opening a regular saver account in PTSB and a lodging a lump sum into a Fixed BOI account.

Can you please advise are deposits in both these banks still cover by guarantee schemes? and which schemes cover each?

thanks for your help
much appreciated.

Both IL&P and BoI are covered by the Eligible Liabilities Guarantee and the Deposit Protection Scheme.

The Irish state guarantees all deposits and most liabilities in the Irish banks regardless of the amount until at least June 30th 2011.

The risks associated with keeping deposits in 'bankrupt' Irish banks are well documented in other threads.

Thanks Ciaran, so are you saying there may be risks in depositing money in BoI?

a lump sum into a Fixed BOI account.

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How long is the fixed account for? there is big risks involved in depositing with any Irish bank, as alot of people believe the 100% gaurantee on deposits is not worth the paper its wrote on!!

I do believe if any Irish bank is goin to survive it will be BOI, they would be safer (somewhat) to AIB

maccs said:

Thanks Ciaran, so are you saying there may be risks in depositing money in BoI?

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There is risks in keeping savings with a bankrupt basket case bank like BOI. I now think there is no such a thing as a safe Irish bank.

I agree with the above, my question is how come HSBC or some one like that has not just opened up a load of branches here they would take over main market share in a few weeks?

maccs said:

Thanks Ciaran, so are you saying there may be risks in depositing money in BoI?

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Yes. There are risks in placing deposits in a 'bankrupt' Irish bank like BoI that is dependent on emergency liquidity to keep ATM's functioning.

bluemac said:

I agree with the above, my question is how come HSBC or some one like that has not just opened up a load of branches here they would take over main market share in a few weeks?

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We already have lot's of foreign banks here. Ulster, NIB, Investec, Nationwide UK, KBC, Leeds etc etc

It could be argued that opening a bank here is a one way ticket to making huge losses. Deposit rates are well above European averages, while Irish residential and commercial lending is still regarded as high risk.