General Chat

To impose an tax on monetary assets only is immoral and unfair.
Say you were buying a house with the purchase to be completed this week so the money is in the bank.
You would be caught to pay the levy and probably be unable to complete the purchase.
If you had completed last week you would be OK as your asset is the house and not the money.

Got some, thanks, Chris. Do occaisionally have a small win! :-)

Well Geordie - try Premium Bonds - safe and you may win.

The media always work on the dramatic and so only give part of the story.

People are upset and angry and over here that means dramatic actions, then all goes quiet and you wouldn't know anything had happened, like much of the Mediterranean area.

You learn to wait for the final result not react to the rumour out here.

Possibly thought it Pat because that's what our papers are still reporting re the ATMs..but thank you for putting me straight on that point...... can only go on what's being reported by our useless press sadly so appreciate the insights.

Why do you think as the banks are closed people can't access their money? Card transaction are going through and ATMs are working. The ATMs only stopped because of the run on them that emptied them. Staff went in on their holiday to refill them this morning.

We were informed straight away that the tax amount in each account was blocked and we couldn't remove it, so the run on the ATMs was pointless.

The government are waiting to see what the Eurozone financial ministers will say after their video conference call this evening.

President Nicos Anastasiades is trying to work out how to keep the smaller savers out of the tax. We'll wait and see.

Today is Green Monday. It's like Shrove Tuesday. The day before Lent starts. People go to the beaches and kites are flown. Lots of food eaten. Greek Orthodox Easter is the first weekend in May this year. No shops will be open for several days during Easter unless you use the very overpriced tourist area shops.

Remember that here man-yarna is far to fast, parliament was to sit yesterday, then today. Now it's tomorrow, late afternoon. Maybe. Time here is always ish.

;-)

Pat thank you for keeping us in the picture, sometimes it is difficult to get the true perspective from media reporting. It may sound very simplistic but it was the Banks who created these problems in the first place. Taking it directly from personal accounts without their permission, that just sounds llike stealing to me.

John, don't hold your breath if this is a European directive I imagine it could happen here too.

Just read on a blog that the banks in Cyprus are staying closed until Thursday? So that'll be nearly a week where people are unable to access THEIR OWN MONEY. That's just disgraceful.

Its setting a very dangerous Precedent,if Cyprus gets away with it whats to stop other Euro Countries from doing it? I gather it was forced upon the Cypriot Government by Germany who refused to give any more cash unless this was instigated. The Fuhrer would be pleased,they lost 2 World Wars but are winning the Financial one. :-|

It does worry you. I am soon to receive a substantial legacy, for which I feel very fortunate .It will be under the inheritance tax level, but makes me wonder how best to deal with it. Investments give very little interest, and the way things are in the world at the moment, the mattress seems very tempting! I'd rather spend it on travelling , my family, and good causes rather than give a penny to bail out ailing economies! :-|

I don't know if anyone else is following this closely on here...but as time goes on this whole situation is making me feel more and more uncomfortable. Whatever the circumstances it HAS to be illegal to make money grabs like this and I'm truly concerned that if this is allowed to happen it's crossing a HUGE red line......

I don't have a lot of money at all......but the little I do have will be removed regardless of everyone's assurance that it will never happen here.

John it's no good doing a run on a bank, from the moment the agreement went through that money to be taxed was blocked and you can't withdraw it. As I wrote before fait accompli Friday evening / early Saturday morning.

The banks did do things very wrong so they are partly to blame but they were told to help Greece (EU and own government) who then defaulted and they were left holding the baby.

The government have yet to meet to ratify this, if they don't ratify it banks go to the wall. Those with up to 100,000 euro in the bank are OK. That money is guaranteed, money above this is lost.

We have less than 100,00 in savings here, those with over 100,000 must be worried.

Vague rumours of problems and knowledge that the Germans were against giving money to the banks here. Cyprus is always alive with all sorts of rumours, last summer it was we were being poisoned in a Western Government plot by the vapour trails of the planes that cross high over the country. No comment.

It was a surprise and yes some will be badly hit if living on their savings. The previous lot in power could have stopped this early last year when far less was needed. The strings attached then were not too bad, privatise the telephone network and electricity, reduce civil service numbers and look at pensions. e.g. on pensions, man a civil servant, gets a pension, becomes a mayor of a town, gets a pension, becomes an MP, gets a pension, becomes a minor minister, gets a pension, becomes a senior minister, gets a pension. Man retires Government pays ALL his pensions (he's put no money in) not the top 1 only. They have started to alter this now. It was against the politics of the Communists to hurt the workers!!!! Civil servants???? Things got so much worse and they refused to do anything.

2 weeks ago new president voted in.

Now it's do this or the banks go out of business, far worse than the tax. The reason the savers are being hit is that those in power over many years have done nothing to stop Russians and other Eastern Bloc countries laundering money here. The Germans were strongly opposed to giving money to the banks out here because most would end up with money launderers. It's everyone that's being hit but hopefully in years to come the shares will realise some of the tax money.

The very poor will have no savings or so small it may have little affect on them. We need a good tourist year so outside money will fill the coffers.

Perspective has nothing to do with it,

We put our hard earned cash in the banks to save for our future in the hope it will earn a little interest, instead the banks make billions and pay a pittance whilst mismanaging your money and paying themselves large bonuses,

A very good friend much older than me, Told me years ago when banks started offering decent interest rates and a cash card all you needed to do was agree to have your salary paid direct into the bank, in those days if a bank account didn't pay interest then not even the tax man could look to see what you had in the account or gain access to your money

He said mark my words once everyone conforms the banks will rip you off and you will end up paying them to look after YOUR money and now even governments are dipping in "who will it be next"

Roy

It does seem to be robbery. And the Cypriot people very much seemed to agree with that when interviewed. Very upset they can do nothing about things till Tuesday morning.

We would not stand for it in Britain. There would be riots and a really serious run on the banks. Grey power can be quite potent - as Jack Jones would have confirmed. :-D

armed forces will be recompensed if they lose money - heard that on the news this morning

seems to me this is just robbery - no other word for it - perhaps the Cypriot governement should ask some of the monasteries to help out - have any of you been to the Kykkos monastery in the Troodos mountains? It's fairly dripping in gold everywhere you look

Thanks for the perspective Pat.

Despite your acceptance, it must have been a blow to the indigenous population who may have low paying jobs to start with. Even 6.75% must be a b*mmer.

Lets hope that the Share certificates are transferable on death as it could be a number of years before they are redeemable.

NB - was there any warning that this might happen?

Only those over 100,00 euro saved will have to pay almost 10%. Below 100,000 euro it's 6.75%. It is a tax to be paid and is offset by giving bank shares in exchange so hopefully some money will be refunded at a later date.

To put all in perspective .

We pay £60 in council tax per year (UK our house there was £2000 per year) and personal taxation starts £16,866 and tax rate is 20%. In 8 years we have saved far more than what will be taken in this 1 off tax.

We do not have a problem with this.

The tax is retrospective to time agree in Brussels, so money will be removed at the start of banking on Tuesday. No-one will be able to draw all their money out as the tax amount has already been blocked to stop it's withdrawal. Fait accompli.

Gold is more malleable than silver, DET. But paper notes are much more comfortable to sleep on.

I am going to take all my cash out tomorrow and spend it at Farm Foods with a £10 voucher. For £100 (my worldly wealth as at 17 Mar 2013) I will be able to buy £110 of frozen foods :-D :-D

Draw it all out, and buy gold :-D