Expat Britons across Europe could see their savings raided

03/26/2013 - 21:43

Bit surprised not to see a thread on this news item I saw in the Telegraph today. Hope you all have your funds spread in bundles within the safe limit.


Expat Britons? They are not the target. Anyone living in any country with financial or banking problems can be the target. Some countries are already asking residents, both natives and foreigners to declare overseas assets. Nothing new. The Cyprus crisis is creating uneasiness. But then, any country where the banking sector is 7 times their GDP, who pays higher than average interest rates and has lower taxes is a recipe for disaster... unless we are talking about Liechtenstein. Expat Britons? I am sure that the Russians are more affected by these troubles.

Yes, Alan. This is because cash payments above 999.99 € are no longer allowed (they say that this amount may be lowered to 300 € in the near future. What are they going to do with the 500€ notes??? Not that you see many around. Also, any operation above 3000€ is reported to the Central Bank. Yes, money laundering and the "nero" will be affected... or made more difficult. And similar regulations are being applied everywhere. Safe heavens will soon be a thing of the past. Swiss banks are already disclosing lots of data which was "secret" not so long ago. Tax evasion will soon be Ancient History.

The news is 3-4 days old (or more) and the Dutch guy they are quoting retracted his idiotic remarks hours later. Saying that, it was simply daft because of the market reaction to it, not sure he was not actually telling the truth. Biggest risk (albeit small) as I see it is for those moving around money for say the purchase or sale of a house in Europe (in particular the countries quoted). But sure you can insure against such things and it might be worth the cost for peace of mind. After all if you had 100k in Cyprus for a few days to buy or sell it could have cost you 40,000! For those that want to read it here is the link http://www.telegraph.co.uk/finance/financialcrisis/9952979/Cyprus-bail-out-savers-will-be-raided-to-save-euro-in-future-crises-says-eurozone-chief.html :)

There is now also a reactivated requirement for the banks to report to the tax man the opening balance, closing balance and the sum of movements in and out of your account. Preumably to see if they match up to your tax return. 2011 is being done now. They will focus on those most likely to move money abroad. I assume this means those with lots of it or foreigners.