Money in the bank guaranteed

Hollister11

How much is guaranted?

Do people have multiple accounts in different banks so money is safer.

Or if you had 20m in cash in banks, and they failed would you loose all your money.

Geuze

http://www.consumerhelp.ie/deposit-guarantee-scheme

dennyk

You'd be insane to have 20m in cash no matter how you spread it around; anyone with that level of wealth would undoubtedly have it invested in something (most likely a diverse array of holdings, properties, and funds, unless we're talking a "EuroMillions winner who still plays the EuroMillions every week" level of financial acumen). You'd literally be costing yourself hundreds of thousands of euros, if not millions, a year in opportunity cost by keeping it as liquid cash.

Jim2007

Hollister11 wrote: »

How much is guaranted?

Do people have multiple accounts in different banks so money is safer.

Or if you had 20m in cash in banks, and they failed would you loose all your money.

It depends on what you mean by money in the bank and which bank you are referring to. Money you put in a deposit account of the typical high street bank probably yes, depending on the T&C of the bank. Money put into other financial products of the bank, it is difficult to say.

By contrast, money placed on deposit with a Swiss bank, very unlikely - as some have discovered to their cost.

JTMan

Hollister11 wrote: »

How much is guaranted?

Do people have multiple accounts in different banks so money is safer.

Or if you had 20m in cash in banks, and they failed would you loose all your money.

The first 100,000 EUR per financial institution per person is guaranteed via different deposit insurance schemes depending on the country the bank is mainly regulated in.

Beyond 100,000 EUR, the official FSCS (UK insurance scheme) line is you are "unlikely" to be paid in a failure.

If you have 20 million in deposits, you could spread the deposits over the 10 banks that offer retail offerings in Ireland. You might also be best paying for proper financial advice on options other than deposits.

myshirt

Note that of you had 20million Euro in hard cash, you will get charged for having that on deposit, not rewarded.

Hollister11

Well if I'm ever loaded, whatever is not in investments will be buried in cash.

JTMan

myshirt wrote: »

Note that of you had 20million Euro in hard cash, you will get charged for having that on deposit, not rewarded.

You won't get charged negative deposit rates in an Irish bank for personal deposits. In fact, in a lot of cases, you will earn deposit interest even with large deposits.

Negative deposit rates apply to corporate and SME customers at Bank of Ireland only right now.

ED E

Hollister11 wrote: »

Well if I'm ever loaded, whatever is not in investments will be buried in cashBitcoin.

FYP

brendan86

Hollister11 wrote: »

Well if I'm ever loaded, whatever is not in investments will be buried in cash.

Your still in college studying Hollister11 you are a long way off worrying about having 20,000,000 euro in the bank Your very optimistic

Henry Ford III

A savvy investor can obtain a 100% guarantee of the claim value of their investment.

368100

Hollister11 wrote: »

How much is guaranted?

Do people have multiple accounts in different banks so money is safer.

Or if you had 20m in cash in banks, and they failed would you loose all your money.

Bertie is that you? ;-)

Jim2007

One thing to keeping in mind is that if you do have €100K on deposit and you have a mortgage at the same bank, you may not get anything back the bank has a right of offset in it's T&Cs. In stead the liquidator will happily reduce the mortgage which will also have crystallised in stead and then go after you for the rest!

Better to keep the cash and the loans at two different banks ;-)

skippy2

+1.................and if you have business loans and money in the bank, keep them in separate banks.........just in case like

delta_bravo

Just related to this thread and the deposit guarantee. Is it guaranteeing 100k per person per bank or just 100 per person. For example if I have 99k in BOI and 99k in AIB and both hit the wall do I just get 99k or 198k?

dennyk

It's money per person per institution, so if you had 100k in a BoI current account and 100k in a BoI savings account, only 100k total would be covered. If you had 100k in an account at BoI and 100k in an AIB account, though, all 200k would be covered in theory. (In practice, if two of Ireland's largest banks went under at the same time, you'd likely never see any of your money again, of course, and it'd become entirely worthless anyway since no one would be accepting anything except ammunition, tins of beans, or Nuka Cola bottle caps as currency...)