It not so easy because as I read, European Deposit Protection Scheme will protect our money, because:
Lithuania will not exit from UE in the near future (…It said it has applied for its license through the Lithuanian central bank and has sufficient capital in place…)
Maybe founds of people leaving in UK will be protected as GB is leaving UE only, not EEA (European Economic Area) but im not sure about it
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But I agree with one aspect on that article: Diversify savings across banks and in different countries.
It’s why I agree somehow with @badskittler if :r: transfer all their assets to Lithuania then we’ll have to be very careful with our Revolut accounts.
I already don’t use much my :r: account because I found the online support being not reliable and not professional. Actually because of them I lost a special offer I was offered (a free contactless card + free delivery). So I don’t really trust Revolut at the moment.
No, funds with Revolut aren’t covered under an e-money-license. But other than with banks, it is less likely that customer’s funds are affected in case of bankruptcy, because customer’s funds are segregated from the company. You win some, you loose some.
If someone is interested, I could share a research paper from BBVA about protecting funds under e-money-licenses.
Plus maybe you are not aware about possible haircuts as they did with Cyprus banks “Central Bank of Cyprus struck a deal with Troika to a 47.5% haircut on deposits exceeding 100,000 euros in the Bank of Cyprus.” http://yiangou.com.cy/news-read/89
So ending deposit protection and haircutting as they wish to save banksters. Paradise, isn’t it?
Yeah, as I said it’s worrying. But it won’t be only for Electronic Money bank accounts like :r:.
What the European Central Bank (ECB) has proposed would apply for all banks.
Concerning your link, the article does not mention a date but I do remember what they did with Cyprus banks, it’s a old (bad) story.
Anyway, at the moment its just a proposal and it still needs to be agreed by the EU member states and then approved by the European Parliament. So wait and see.
I‘m not concerned, by the way. The BBVA study is from October 2016. I thought it might be interesting for people here to get a better understanding about e-money rules and regulations worldwide in terms of customer‘s funds protection.