Post Office Savings

[Planet 24]

A friend just told me that that if you have savings in the Post Office, you are not covered by the UK Savings Scheme, basically it means if the Post Office goes bust, you lose your money.

This is so wrong - a lot of pensioners get their pensions paid straight into the Post Office and the money can mount up. Looks like another government c*ck up.:mad:

[Annabel]

Not true, P24! Tut tut at your friend spreading rubbish like that around.:nono::nono:

Always best to consult a reputable Financial Adviser (hem hem) for the facts.:rolleyes:

A lot of the Post Office savings accounts are being offered by Bank of Ireland. The Irish government has given a guarantee that it will protect all saver's deposits, no matter how much, for the next two years.

In addition to this guarantee, the Bank of Ireland is covered by the EU's depositor protection scheme, which provides Eur 100,000 worth of cover, c. £90,000.

Therefore the EU scheme is actually more generous than the UK scheme, which only provides £50,000 worth of cover.

[Isis]

Annabel

It was me, and I saw it on the news as I was coming back into the office, it was either sky news or bbc, which ever they have on in the building, as our servers at work have a problem cannot come onto the web site from work so asked Planet to warn people on here. It was defintely on the news because there were people talking about it and I saw the "ticker tape" thing and one of the security guards pointed it out to me as well. So it was definately there. So thought I would warn people. If they have got it wrong, then I am sorry to make people panic but I definately saw it.

[Annabel]

i have checked this, and I believe the uncertainty has arisen from the irish government nationalising anglo irish bank, and also the post office writing to its customers saying it has moved from the UK protection scheme to the Irish one.

there have been some very badly written and misleading articles about the solvency of the irish government and its banking system, but the Irish government's guarantee is still in place as is the EU depositor protection scheme. as i said, the EU scheme offers a greater level of cover than the UK scheme. of course if there was a claim it would have to be made via the EU scheme and not the UKs.

I think this is scaremongering and if you step back and look at the bigger picture, what government is safer? the UK which has seen sterling decimated in value over the past few weeks or the Eurozone which has seen its currency appreciate in value? investors are moving their money out of sterling. they are saying that the EU is in a better position to weather this financial storm than the UK.

nobody should panic about their money if it is in the post office.