Northern Rock - Opinions Wanted...

Jonny · **Posted:** Mon Sep 17, 2007 1:04 am

If you had a small amount of money (10k) saved in a northern rock savings account would you withdraw the lot and take your chances elsewhere or keep the money where it is?

Also if Northern Rock does get bought out by another bank does it mean that account holders will be given shares like what has happened in the past?

Compo · **Posted:** Mon Sep 17, 2007 6:44 am

Jonny wrote:

If you had a small amount of money (10k) saved in a northern rock savings account would you withdraw the lot and take your chances elsewhere or keep the money where it is?

Also if Northern Rock does get bought out by another bank does it mean that account holders will be given shares like what has happened in the past?

according to the bbc its fine if you have a mortage with northan rock as another lender with take over the account, but if i had savings in their i would be down their to get the lot out

Frank_Reid · **Joined:** Mon Sep 25, 2006 8:45 pm **Posts:** 473

Chill it will be ok...

dawlishmonkey · **Joined:** Fri Sep 01, 2006 11:53 am **Posts:** 1588

http://www.moneysavingexpert.com/bankin ... ock-Crisis

this guy generally knows what he's on about

Mr Irrelevant · **Joined:** Thu Aug 17, 2006 8:25 pm **Posts:** 22622

Not sure about nothing to worry about Phil, even at 35k theres the potential to lose nearly a grand.

Lets put it this way; everyones using words like unlikely/long odds/improbable, nobody has said it definitely won'y happen. This run is going to gather pace and if your money isn't in there then you've definitely got nothing to worry about.

Johny: share issues - definitely not. They were issued because the building society in effect belonged to its customers. When it sold the business on the markets by going public the shareholders (customers/owners) got a share in the proceeds. This is very different to the current situation where in all likelhood an existin public company will be swallowed up by another.

Sarnia Poolie · **Posted:** Mon Sep 17, 2007 9:01 am

Bit more than a grand actually - £3,300 if you've got £35k stashed away.

Mr Irrelevant · **Joined:** Thu Aug 17, 2006 8:25 pm **Posts:** 22622

Correct, don't know wha happened to my maths there

Hawklord · **Joined:** Thu Aug 17, 2006 10:27 pm **Posts:** 3115

I was going to say that Sarnia (& Mr I). 10% of my money is still my money. It's put into the bank or building society to earn interest not to lose money. I thought that the wise thing to do was to constantly review interest and conditions such as ability to withdraw your money & then move your money around to get the best deals. Not that many people, including myself, do.

Splod · **Posted:** Mon Sep 17, 2007 9:27 am

Its straight forward. On Radio 4 this morning the Chancellor was asked to guarantee money for savers and he wouldn't do so. Anyone with more than £3k risks losing money and anyone with less than £3k risks not being able to get their money for a while whilst any insurance/compensation scheme is finalised.

Spender · **Posted:** Mon Sep 17, 2007 9:33 am

Have a read of this and relax. It's just sensationalised reporting typical of the hysterical British press.

http://www.fool.co.uk/news/your-money/2 ... txt0010011

Compo · **Posted:** Mon Sep 17, 2007 10:03 am

dawlishmonkey wrote:

http://www.moneysavingexpert.com/banking/Northern-Rock-Crisis

this guy generally knows what he's on about

yeah that sight is brilliant for cheap everything especially train and plane fairs, return flight to munich £35 brilliant

dawlishmonkey · **Joined:** Fri Sep 01, 2006 11:53 am **Posts:** 1588

yeh we just got back from dublin flights 4p return for 2! shame the taxes came to 40 quid but still a bargain.
by the way great time to buy northern rock shares

Hawklord · **Joined:** Thu Aug 17, 2006 10:27 pm **Posts:** 3115

Massive queue in Cambridge now with people trying to get their money out (I'm assuming they are not there to make deposits). Security guards in place outside as well.

Sarnia Poolie · **Posted:** Mon Sep 17, 2007 10:30 am

Don't buy Northern Rock shares. Trust me.

The only part of the business that's salvageable is the mortgage book - you're looking at 180/200p per share of value there. That's still 40% below where it is at the moment.

dawlishmonkey · **Joined:** Fri Sep 01, 2006 11:53 am **Posts:** 1588

but there loan book is one of the best in the business.
plenty of assets too

Sarnia Poolie · **Posted:** Mon Sep 17, 2007 10:58 am

But the brand is worthless.

With the shocking houseprice numbers on Friday, you're not going to get a bidding war for a shot home lender.

Spender · **Posted:** Mon Sep 17, 2007 11:06 am

No, there'll be an instructed take over from the BoE, probably HBOS.

ptbap · **Posted:** Mon Sep 17, 2007 11:09 am

Isn't it true that Northern Rock haven't actually taken this 'agreed' money off the Bank of England. They asked if they could have it if they needed, so far they haven't need.

Sounds like asking for an overdraft when you know you are running a little short and payday is still a week off.

As for standing outside a branch since 3am like the people on sky news this morning refred

Some people need to get out more often.

Mr Irrelevant · **Joined:** Thu Aug 17, 2006 8:25 pm **Posts:** 22622

If you had half a million in NR you'd be in that queue too.

dawlishmonkey · **Joined:** Fri Sep 01, 2006 11:53 am **Posts:** 1588

can't dispute that mr I ,personally I've got a couple of loans with NR purely because the rate was the lowest on the market at the time so it doesn't matter to me who I pay it back to,but if I had any savings with them I'd be getting them out.
what I can't understand is that there was another bank in the same situation a month or two back and that seemed to get smoothed over very quickly,I think it was barclays

ptbap · **Posted:** Mon Sep 17, 2007 11:37 am

Are you suggesting the people in that queue have half a million each like!

If I had half a million I wouldn't (a) stick it in a northern rock savings account (b) bother coming to work each day (c) live in this country!

Mr I wrote:

If you had half a million in NR you'd be in that queue too.

Mr Irrelevant · **Joined:** Thu Aug 17, 2006 8:25 pm **Posts:** 22622

Some of those people are for sure withdrawing that sort of dosh. By the way, if you do have half a million in an account and are planning to draw it out in case; let me know where and when :wink:

ptbap · **Posted:** Mon Sep 17, 2007 11:48 am

Woman on sky this morning was going to put her money "under my matress" as she apparently doesn't trust any of the banks anymore!

She'll probably get followed home and beaten up with a stale french stick, then she'll be wanting compensation, no win no fee.

Mr Irrelevant · **Joined:** Thu Aug 17, 2006 8:25 pm **Posts:** 22622

Under your mattress? :shock:

Bet your lass has something to say about that.

ptbap · **Posted:** Mon Sep 17, 2007 11:53 am

I'm just praying it's a cool half mil!

Used notes, non sequential please.

Mr Ripper · **Posted:** Mon Sep 17, 2007 11:55 am

Well none of our savings are in there anymore.

Mrs R wanted to get them out so I let her queue and do it.

Much easier than trying to convince her otherwise seeing as though I didn't have to queue.

Now just gotta wait and see what happens with the shares.

To sell or not to sell, that is the question?!

Mr Irrelevant · **Joined:** Thu Aug 17, 2006 8:25 pm **Posts:** 22622

Did you put the reddies under the mattress?

Oh what time are you doing that 5-a-side ??

Mr Ripper · **Posted:** Mon Sep 17, 2007 12:03 pm

Went straight into the Nationwide! :laugh:

Wouldn't fit under the mattress. :wink:

Northern Rock - Opinions Wanted...

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