Directive 94/19/EC of the European Parliament and of the Council of 30 May 1994 on deposit-guarantee schemes[11] requires all member states to have a deposit guarantee scheme for at least 90% of the deposited amount, up to at least 20,000 euros per person. On October 7, 2008, the Ecofin meeting of EU's ministers of finance agreed to increase the minimum amount to 50,000. ...
Which is not EU-wide deposit insurance. It is a directive asking EU members to create national deposit insurance schemes.
The germans made this official in the 2007 crisis by declaring that all bank accounts are guaranteed by state, with a 1 billion euro limit.
My bank account's got robbed by European Commission. Over 700k is lost.
The most of circulating assets on our business Current Account are blocked. Over 700k of expropriated money will be used to repay country's debt. Probably we will get back about 20% of this amount in 6-7 years.
I'm not Russian oligarch, but just European medium size IT business. Thousands of other companies around Cyprus have the same situation.
The business is definitely ruined, all Cypriot workers to be fired. We are moving to small Caribbean country where authorities have more respect to people's assets. Also we are thinking about using Bitcoin to pay wages and for payments between our partners.
Special thanks to:
- Jeroen Dijsselbloem - Angela Merkel - Manuel Barroso - the rest of officials of "European Comission"
P.S. The worst thing is, that even a month ago I was suspecting that things can go wrong. In February, I several times called my banker and lawyer and asked them if money on the account is safe, mentioning that article in Financial Times. But they convinced me that there is no reason to worry, and even if country goes default, in no way current accounts may be affected. "This is European Union and banks here can't just grab your money and go" I was told. I got a hard lesson and now I know the meaning of phrase "TRUST NO ONE".
(...)
The stealing of my money is now finalized.
Yesterday I looked at my Laiki account and found that frozen amount is not more shown on my balance. 100% of frozen funds is now appears as outgoing transaction to nobody with comment "DECREE".
Also there are some news from lawyers.
Quote The Supreme Court has not announced its decision yet. It examines preliminary objections raised by the Attorney on a basis that the Law and the Order are political acts of the state (like decision to start war) and therefore cannot be examined or controlled by the Supreme Court and that the matter in issue should be considered as a private and not a public law matter.
Also, there is recent translation of the "Capital Controls imposing DECREE"
[ 2013-07-10 10:49:23 PM Update ] "Blocked Funds" amount has finally disappeared from our Laiki account. Bank told me it's "waived" (their interpretation of word "stolen"). We won't receive any bank shares as compensation for confiscated amount since the bank is liquidated. The rest of the money (100k EUR) are still subject to Capital Control and we can only transfer 5K monthly.
Today I had a conversation with a manager from Laiki Bank. He has been honest and confirmed that we may forget about anything over 100K as it's already spent to pay country's debts. Also, I was warned that the financial situation in the country is getting worse and worse and we should be ready to lose even part of insured (under 100K) money during this year (this is why they keep capital control enforced).
By the way, this style of "bank restructuring" is going to be adopted in the whole European Union. Soon, everyone's uninsured money (over 100K EUR) in EU banks will be at risk of seizure.
Is this from around 2013, or more recent?
https://www.dnb.nl/betrouwbare-financiele-sector/nederlandse...
Are the two that come to mind. Cyprus deposits in a couple of banks in 2013 above 100k were lost I believe. Icesave played out badly in the UK in 08, quite a few councils etc took some nasty lossses.
Either way, waiting for multiple years, winding up and down of court cases, bankrupcy proceedings etc to find out if the rest of your money is gone or not is not much fun.
The kind of person parking a couple of 100k in cash accounts is almost by definition risk averse.
If you have decent money, using single account/country is not just lazy, but stupid.
Below the list of the world's top 50 safest banks
https://d2tyltutevw8th.cloudfront.net/media/document/press-r...
Iceland bank issues were widely covered too
I would assume since the 100k are guaranteed by law that the state does not further step in on losses above that.
When there is no law like that in place the situation is entirely different.
FDIC deposit insurance, 250k per FDIC-insured bank, per ownership category.