Yup...it was the Brisbane G8 (Nee 7) Whether or not laws have been drawn up, it was at this conference that the non-elected bureaucrats that run the developed nations agreed as a united body, that future financial crisises (i.e. they fully expect more to occur) will be solved by using depositors money having proved it as a successful policy as trialled in Cyprus. drawing up a set of laws can occur overnight.
Are we saying that G8 passed it as a policy and the Australian govt has drafted the laws they're just waiting for an emergency for them to be presented to parliament? Or are we saying it's already been passed into Australian law?
I think SammySilver confirmed they were in place for deposits over 250k. The money needs to be split across the banks. 250k in cba and 250k in Bankwest however means you could lose 250k since they are fundamentally the same institution.
That's nothing guys, Bill English passed our Open Bank Resolution is 2013 with a depositor guarantee of $0. That's right Ole' Billy has There is also this gem i.e. freeze all the funds!! Full policy is here http://www.rbnz.govt.nz/regulation_and_supervision/banks/policy/4368385.html What are you worried about Aussies? Come and store your money in our banks :lol:
yeah but I'd rather your economy than ours and we'll swap you PM's too, thats Prime Minister not precious metals :LOl:
As far as I understand the Australian Government Guarantee on Deposits works the same as the US FDIC (Federal Deposit Insurance Corporation) where yes they Guarantee Deposits but if many requests come though at the same time then the fund is wiped out and cannot pay the Guarantee. Have spoken to APRA about this and the Bail-in legislation and they cannot or will not confirm any limits or amounts, nor could confirm how deposits could be affected, the Bail-in's were made vague prehaps so the specifics could be decided when an event occours.
Most people won't be caught in a bail-in situation, but their superannuation will take a tumble. For many renters, super represents their greatest asett, and they usually have no idea where it is invested.
And what happens to the safe deposit boxes with pms in the event of severe banks stress/collapse? Does bail in only apply to cash deposits?
You hit the nail on the head. I was talking to my bank(ster) this morning on one of my daily visits and we were discussing NZ Kiwisaver. As he signs up large numbers of people he has come to the realization that they (the people) have next no understanding of where their kiwisaver funds go. Now it is not his job to enlighten the masses about where their funds go and he believes they have ZERO understanding about their retirement saving being invested for the most part on the International markets
But bank safty boxes are so much cheaper, a fraction of the cost. Also what if a private vault defaults? Like bullion direct? I know they r not a vault, but what if the owners of the vault defaults?
Then all the vaults are numbered and ALLOCATED to an individual, so they get what is in THEIR boxes back. Bullion direct is not even in the same ballpark mate, thats like comparing apples to tanks
And Unallocated is so much cheaper again than a bank safety deposit box but why would you risk your savings to save a couple extra bucks, everyone needs to be holding their savings (metals and fiat) as safely as they can atm which will probably mean different things for different people but what ever the choice I would not skimp to try and save a buck now or you will probably be regretting it later.
What happens if you have your bullion stored in a private deposit box and the government outlaws the private ownership of precious metals? Are these companies going to send out a memo "Come and get whatever is in your box now, before the government audits us and we are forced to let them look through all boxes for precious metals..." Or, such a long shot it's not even worth worrying about?
Well in the ideal world that would require court orders for each individual box. I am having trouble thinking of ANY western country in history that has confiscated metals though.
