The £75k bank guarantee thing????

[jamesbrown]

May be prudent now to take the hit and take it out personally, esp as Plan B is starting...

Yep, better this year than next

[jamesbrown]

And I'm not sure how to reconcile what Cater Allen's own website says with the This Is Money link.

The FSCS operates per banking license. I believe CA has its own banking license. However, they are a wholly owned subsidiary of Santander, much like Nationwide Commercial are a wholly owned subsidiary of Nationwide. In both these examples, the parent banks guarantee against losses. That's a separate issue than the FSCS.

[ContrataxLtd]

How does MassiveClientCo manage with this - surely they don't shift each £75k chunk to various sundry banks, what do they do?

I'm a bit worried as I might need three banks soon at this rate....

Ideas?

Doesn't the £75,000 compensation scheme only apply to individuals and small businesses, therefore, massiveclientco wouldn't be covered in any eventuality?

[pr1]

Where does this 75k per account come from? is it in an account somewhere waiting for a banking crash?

Or is it just a facade to try and stop people panicking and doing a run on the banks after reading a few extreme tweets...

[jamesbrown]

Doesn't the £75,000 compensation scheme only apply to individuals and small businesses, therefore, massiveclientco wouldn't be covered in any eventuality?

Yes

[LondonManc]

Yep, better this year than next

Going to have a chat with my accountant once the budget is announced, to see if there are other sweet spots emerging on the dividends/salary split as I don't want all my money tied up in ltd co.

[RSoles]

I've never had near to £75k in a bank, and am not likely to either.
The one that worried me was the £50,000 protection limit on other investments such as shares held in a nominee account.
I'm thinking about pension/SIPP funds here.

NOT protection against a fall in the share price of course, but against the account provider going bust or doing a moonlight.


Anyone done any research into the relative risks here? Is it worth having a load of 50k pension pots?

I guess the bigger risk is from a fall in share price, but that's a different matter.......

[Contreras]

The one that worried me was the £50,000 protection limit on other investments such as shares held in a nominee account.

As I understand it the 50k limit is only for cash. If the provider goes under, shares held in the nominee account remain ring-fenced and the worst is you lose access for a while. That's assuming no fraud involved.

As for the 75k limit, well, business account rates are tulip, it shows on public record (easily searchable these days), Hector could take a pop at any time... I would rather have the money out of the company or make company contributions to a SIPP.

[stek]

I've never had near to £75k in a bank, and am not likely to either.
The one that worried me was the £50,000 protection limit on other investments such as shares held in a nominee account.
I'm thinking about pension/SIPP funds here.

NOT protection against a fall in the share price of course, but against the account provider going bust or doing a moonlight.


Anyone done any research into the relative risks here? Is it worth having a load of 50k pension pots?

I guess the bigger risk is from a fall in share price, but that's a different matter.......

Really? The way everyone goes on on here I thought everyone was at millionaire level!

[stek]

As I understand it the 50k limit is only for cash. If the provider goes under, shares held in the nominee account remain ring-fenced and the worst is you lose access for a while. That's assuming no fraud involved.

As for the 75k limit, well, business account rates are tulip, it shows on public record (easily searchable these days), Hector could take a pop at any time... I would rather have the money out of the company or make company contributions to a SIPP.

I think you're right - after years of spunking contracting money on shiite, I went all opposite and paid myself a pittance to build up the warchest, suspect I've gone too far....

Got two kids at uni, personally skint keeping them going, sod it, I'm having a curved telly.....