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Could the bank freeze our savings if economy takes a nose dive?

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  • 21-10-2010 1:55pm
    #1
    Bob Z
    Registered Users Posts: 2,587 ✭✭✭


    I know the economy is bad but if it gets worse can our savings be frozen by the Goverment or the banks or IMF?


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    #2
    charlemont
    Closed Accounts Posts: 4,725 ✭✭✭charlemont


    just put your money into a european bank like rabobank , i dont pretent to know much about banking but believe me if i had the money it wouldnt be going into an irish bank..


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    #3
    BuffyBot
    Moderators, Motoring & Transport Moderators Posts: 24,924 Mod ✭✭✭✭BuffyBot


    i dont pretent to know much about banking

    And herein lies the crucial part of the post!


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    #4
    Jet Black
    Registered Users Posts: 3,842 ✭✭✭Jet Black


    Cant see it happening. If it were to it happen there would be rioting straight away. Then when the money is unfrozen it would all be withdrawn which would lead to more trouble for the banks, then more trouble for the economy.


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    #5
    Bob Z
    Registered Users Posts: 2,587 ✭✭✭Bob Z


    Jet Black wrote: »
    Cant see it happening. If it were to it happen there would be rioting straight away. Then when the money is unfrozen it would all be withdrawn which would lead to more trouble for the banks, then more trouble for the economy.

    I cant either but i was chatting to people who taking all their money out of the bank

    I think the worse that could happen is that the Goverment puts a limit on how much you can take out in a day or week


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    #6
    [Deleted User]
    Posts: 0 ✭ [Deleted User]


    Hey you can take all the money you want out of the bank but at this stage it will just end up going back into the bank in the form of higher taxes. We've mortgaged ourselves to the hilt to back up the banks and at this stage I'm afraid to say we're probably in way too deep to turn back now.

    Then again, it does seem a very Irish thing to do - backing up the banks with billions and then causing their collapse with a bank run. We'll still have to pay back the billions in the end and other members of the euro might decide that the Romans were right all along and we're far to backward to be dealing with something as complicated as money.


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    #7
    Blackjack
    Registered Users Posts: 3,593 ✭✭✭Blackjack


    charlemont wrote: »
    i dont know much about banking

    FYP


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    #8
    dotsman
    Registered Users Posts: 3,635 ✭✭✭dotsman


    charlemont wrote: »
    i dont pretent to know much about banking.
    lol. no $hit.

    P.S. Irish banks are European. We all use the euro. We're all in it together. We're all safe.

    OP, you're money is perfectly safe in an irish bank. No, the government/IMF are not going to "freeze" bank accounts. The only time accounts are frozen is by CAB, when they can prove that the money is the proceeds of crime (drugs/terrorism etc).


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    #9
    stepbar
    Closed Accounts Posts: 6,123 ✭✭✭stepbar


    dotsman wrote: »
    lol. no $hit.

    P.S. Irish banks are European. We all use the euro. We're all in it together. We're all safe.

    Thankfully we are because the ATM wouldn't be joking when it displayed "Insuffcient funds".


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    #10
    Bob Z
    Registered Users Posts: 2,587 ✭✭✭Bob Z


    dotsman wrote: »
    The only time accounts are frozen is by CAB, when they can prove that the money is the proceeds of crime (drugs/terrorism etc).

    Yes but this is a pretty unprecited situation isnt it? How bad did things get in Aregntina before they did it?


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    #11
    dotsman
    Registered Users Posts: 3,635 ✭✭✭dotsman


    Bob Z wrote: »
    Yes but this is a pretty unprecited situation isnt it? How bad did things get in Aregntina before they did it?

    Yes it happened in Argentine before but there are some very big differences:
    The bank guarantee - which, despite its criticisms, turned out to be far more effective and cheaper than freezing the accounts (which caused as many problems as it solved for Argentine).
    1. We are part of the euro. One of the biggest factors in the Argentine case was the collapse of the peso (people wanted to withdraw their life savings from the banks to buy dollars, thus causing a run on the banks).
    2. We're past the worst of it (in relation to shocks etc). Banks are being recapitalised and have access to ECB funds, hopefully most people are not listening to the likes of Joe Duffy (and the other gob****es who almost caused the collapse) like they were back in 2008. For example, even on boards.ie there are now specific rules regarding BS reporting of banks/runs etc.

    Ultimately though, freezing accounts here wouldn't be a viable option. There would be no benefit to it and no reason to do it.


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    #12
    chris85
    Registered Users Posts: 4,502 ✭✭✭chris85


    Would never happen. If the IMF came in then they would basically be giving us money with strict conditions attached to fix things. Would be a bad thing if this ever happens but money is safe in the bank at the moment.


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    #13
    derry
    Banned (with Prison Access) Posts: 1,380 ✭✭✭derry


    Bob Z wrote: »
    I know the economy is bad but if it gets worse can our savings be frozen by the Goverment or the banks or IMF?


    In the Alice in wonderland economy the Irish and the Europeans and others work in anything is possible.
    Look how the wonderous magician Cowen waved his magic wand and made the Irish government have the power to garenttee a whole banking system for two years.

    Look how his side kick apprentice magic man Lenehan kept holding back the dam of truth attacks with statements like it will only cost the Irish a mere few billions to do that party trick .
    Now as the lies dam sprouts more holes than he can put his fingers in he admits it might be as much as ~40 billion to keep that party trick going .

    Well it seems in one of my nightmares last night that number ~40 billion jumped to ~66 billion and that the senior and non senior investors got the ~ 66 Billion that was garenteed to them and skiped town a few months back
    In that dream it means leaving the victims the Irish tax Payers with no cash in the Banks post office or pensions and then I woke up to reality :eek:

    I must make a note not to have any dreams as dreams are bad two legs good four legs bad :pac:

    Sure Cowen can close the banks and saving institutions . It would hide the fact that the loot was stolen months ago and he could still continue to pose with his silly grin with two hot chicks hanging of his sholders for a few month longer untill the lies dam totaly implodes

    Its magic land any thing is possible if the magician can say the Irish government can garentee an entire banking system .

    Why money itself doesnt even exist until somebody requests to borrow it and suddenly abra cad abraba Viola they print the cash up from thin air . Now the money exists and you owe them that money with interest but the sting is that they didnt print up the interest money for that party trick . So you can never pay them back the loan and the interest .
    Its all magic land stuff and Cowen knows it the bigger the bluff the longer you last before the taxxed from a great height plebs cop on

    Fado Fado there was a King who declared he could hold back the tide......

    Derry


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    #14
    digme
    Closed Accounts Posts: 4,584 ✭✭✭digme


    Bob Z wrote: »
    I know the economy is bad but if it gets worse can our savings be frozen by the Goverment or the banks or IMF?
    why are you loaning money to the banks after what they've done to our country? i cant understand this at all, are you in cuckoo land or what?


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    #15
    Bob Z
    Registered Users Posts: 2,587 ✭✭✭Bob Z


    digme wrote: »
    why are you loaning money to the banks after what they've done to our country? i cant understand this at all, are you in cuckoo land or what?

    Its not ideal but what do you suggest? If everyone starts hoarding money at home the crime rate we will shoot up


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    #16
    Bob Z
    Registered Users Posts: 2,587 ✭✭✭Bob Z


    Or do you mean put into credit unions?


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    #17
    3DataModem
    Registered Users Posts: 3,957 ✭✭✭3DataModem


    The only real risk is if we are excluded from the Euro at some point.

    Then the state-owned banks balances would be converted to the PaddyPeso or whatever, as would public sector, semi-state and bank salaries.

    Then as the PaddyPeso plummetted (as per Argentina) kiss your savings (and debt :) ) goodbye.

    If you are really afraid of the above keep your debt in Ireland and your savings abroad.


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