Guest 714- Registered: 14 Apr 2011
- Posts: 2,594
The point is that wealthy people won't be affected by this, its ordinary people with savings.
This is the most despicable example of state sponsored theft I can think of and a perfect example of how inept politicians are, Cyprus will be bankrupt in no time
Guest 710- Registered: 28 Feb 2011
- Posts: 6,950
On the other hand the vagaries of Government conduct with regard to public housing is something that the poorest in this country must now stump-up for.
This though is said to be 'fair' and not some sort of high handed Government theft.
It's a funny old world.
Ignorance is bliss, bliss is happiness, I am happy...to draw your attention to the possible connectivity in the foregoing.
Guest 714- Registered: 14 Apr 2011
- Posts: 2,594
Yes fancy that, people being expected to pay their own way rather than someone else pay for it.
Guest 710- Registered: 28 Feb 2011
- Posts: 6,950
And people required to pay 10% or so to save them from losing 100%, this you say is crass stupidity.
Ignorance is bliss, bliss is happiness, I am happy...to draw your attention to the possible connectivity in the foregoing.
Guest 714- Registered: 14 Apr 2011
- Posts: 2,594
Why would they be losing 100%?
Guest 710- Registered: 28 Feb 2011
- Posts: 6,950
It is said that without this bail-out the banks would fail, and as I understand this the depositors are to receive shares in lieu of the cash they lose.
Ignorance is bliss, bliss is happiness, I am happy...to draw your attention to the possible connectivity in the foregoing.
Guest 714- Registered: 14 Apr 2011
- Posts: 2,594
Hang on Tom, the banks would fail if the govt doesn't take money from them - you'll have to explain that clearly.
Surely the answer is not to just take 10%, why not 50%, why not all of it? Simply stop citizens having money at all.
Do you see where this is going Tom in your state controlled utopia?
Guest 710- Registered: 28 Feb 2011
- Posts: 6,950
The head you crown David is not mine.
QE is devaluation by the back door, but it is currency devaluation just the same. The '£' has lost about 15% of it's value through QE, and there is more to come. So, as you can readily see we are past 10% and well on the way to the 50%.
I fancy that your argument is not with me.
Ignorance is bliss, bliss is happiness, I am happy...to draw your attention to the possible connectivity in the foregoing.
Guest 714- Registered: 14 Apr 2011
- Posts: 2,594
More nonsense and swerving Tom.
You are clearly in favour of the Cyprus theft so come on, why stop at 10%, take it all and we're all in clover.
Guest 710- Registered: 28 Feb 2011
- Posts: 6,950
Was it Confucius or some ancient Roman that set the standard by which you live David?
"If one is to be at all satisfied in life one must first be self-satisfied."
Ignorance is bliss, bliss is happiness, I am happy...to draw your attention to the possible connectivity in the foregoing.
Jan Higgins
- Location: Dover
- Registered: 5 Jul 2010
- Posts: 13,894
I fail to see how anyone can support this kind of back door theft, we are talking about money that has been saved by ordinary people for a rainy day, a holiday, a wedding or even a funeral. The rich only keep their pocket money in banks so this proposal will hardly affect them at all.
I know I would be completely disillusioned with putting any money in banks if that was ever to happen here.
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I try to be neutral and polite but it is hard and getting even more difficult at times.
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Guest 655- Registered: 13 Mar 2008
- Posts: 10,247
The Cypriots have a depositor protection scheme for the first E100,000 and yet people with under that sum have had 6.75% stolen from their accounts Tom.
So where is your argument now about the alternative loss of 100% then?
They would not lose anything at all if their Cypriot banks went down.
The wrongs of QE do not make this right either. You always want to justify bullying government action. Well said Jan - there are some dreadful consequences of this foolish action.
Guest 710- Registered: 28 Feb 2011
- Posts: 6,950
-"
Aren't savers meant to be insured against losses when banks go bust?
Absolutely. Cyprus's deposit protection scheme states deposits up to €100,000 are protected. But in this case the banks haven't collapsed, so it doesn't apply.*
-"
Hang on, savers are being taxed to help prop up Cyprus's economy?
Technically they are being "bailed in" - and will receive equity (bank shares) in return. But yes, in effect it's a tax on all savers.
Those with under €100,000 will lose 6.75%, rising to 9.99% for those with over €100,000 in the bank."
-"
How is raiding savers justified?
Officially, because the deal will protect the Cypriot banking sector.
Jeroen Dijsselbloem, the Dutch finance minister, who chairs the eurogroup of finance ministers, told reporters: "As it is a contribution to the financial stability of Cyprus, it seems 'just' to ask a contribution of all deposit holders"."
*They would indeed lose 100% of 'their' money in a bank collapse, they would get some of 'your' money instead...phew!
http://www.guardian.co.uk/world/2013/mar/17/cyprus-savings-levy-questions-and-answersIgnorance is bliss, bliss is happiness, I am happy...to draw your attention to the possible connectivity in the foregoing.
Guest 716- Registered: 9 Jun 2011
- Posts: 4,010
Game set and match Tom..................
Guest 696- Registered: 31 Mar 2010
- Posts: 8,115
David, it's not as you think.
Barry, The Cypriot government has still to decide, at the moment, whether to take 6.75% or 3% from bank accounts with less than 100,000 euro, and 12.5% from those with more, rather than 9.9%...OR whether to declare state bankruptcy, default, and leave the euro.
You either have not followed the case, or are covering up the facts here.
Although it's hard to believe that someone with your expertise would not have grasped the current financial situation in Cyprus.
Firstly, back to David here, rather than taking the 6 billion euro from accounts, Cyprus could simply declare insolvency, and "auction off" all its bank assets, and get, in return, possibly 40% or less of the total value of savings deposited in Cypriot banks.
Total loss for savers: 60% (or more).
Think it over and get informed, David. Banking economics is not as simple as you'd like to think.
Guest 703- Registered: 30 Jul 2010
- Posts: 2,096
Reg Hansell wrote:Game set and match Tom..................
Only if you're viewing the game from the far left hand side of the court
More money has probably already been lost at the suggestion of the levy than will be gained from it -
http://www.bbc.co.uk/news/business-21823432Guest 655- Registered: 13 Mar 2008
- Posts: 10,247
There is a case for limiting the grab to those with over E100,000 if only because otherwise it totally undermines the existing depositor protection schemes across the Eurozone.
The consequences of this will be dire for Cyprus and also the Eurozone in general.
I hope everyone notes the sheer joy with which Reg seems to greet the bullying action against small deposit holders in Cyprus. Let this be a lesson against the might of big government and the EU in particular. The sooner we are out of this morally and financially bankrupt organisation the better.
Alexander - I have been following events far more closely than you possibly could. I do have some clients with property and cash in Cyprus - I just hope they pulled the cash out when I said they should a few months ago.
Here is a bulletin I received this morning that is interesting concerning a very confused situation.
http://www.citywire.co.uk/global/mandgs-isaacs-5-reasons-why-cypriot-bailout-is-insane-in-the-brain/a666594Guest 714- Registered: 14 Apr 2011
- Posts: 2,594
Alex this is not banking economics we're discussing its state theft from ordinary people. The EU has told Cyprus to find some money because it has managed its finances poorly, demanding that ordinary citizens pay is astonishing.
Its just another example of useless politicians mismanaging the economy, nothing to do with the banks.
howard mcsweeney1- Location: Dover
- Registered: 12 Mar 2008
- Posts: 62,352
barry
37
are you saying you had prior knowledge of this action?
Guest 655- Registered: 13 Mar 2008
- Posts: 10,247
No Howard but I was aware of the perilous state of Cyprus and made an appropriate recommendation.