Deposit Protection Will Not Be Reduced As Planned

[Darrel]

Deposit protection will no longer be reduced to 1MB in August, according to the Ministry of Finance.

Source: Front page Bangkok Post June 16 2012

[Pib]

That's good news...it's going to remain at B50M per person per bank according to this article in the Nation. But it's not a done deal unless the Cabinet approves it which I expect they will.

[givenall]

That's good news...it's going to remain at B50M per person per bank according to this article in the Nation. But it's not a done deal unless the Cabinet approves it which I expect they will.

Be very vigilant. I do not trust this government does anything that benefits the Thai people so it must have a benefit to Thaksin and friends

[MichaelJohn]

Is it not a meaningless guarantee? The Govts Deposit Protection fund has insufficient money to pay out even B1m to everyone in the event of a banking problem.

[lannarebirth]

Is it not a meaningless guarantee? The Govts Deposit Protection fund has insufficient money to pay out even B1m to everyone in the event of a banking problem.

Not meaningless, actually more worrisome, as there isn't a hope in hell they'd ever guarantee 50 million. So what's the REAL reason for the change in policy? I don't know where this 50 M number came from. My understanding is that it's been dropping incrementally these past few years from 10M - 12M down to 1M starting this year.

[Darrel]

Any guarantee is better than no guarantee. At one time the it was unlimited and they have been reducing it from there. 50M was an intermediate step.

If necessary they can just print the money to cover it, just as they would do in the EU or US if it became necessary.

The guarantee has a point because it would be enough to cover one or two banks screwing up due to bad loans or fraudulent trading for example, which is more likely (and more preferable) than the entire banking system collapsing.

If the entire banking system collapses then we will all be completely and utterly screwed anyway, even those who have bought gold/houses/magic beans etc. etc.

Edited June 16, 2012 by Darrel

[falang07]

You are terribly wrong, if the banking system collapses, gold will only profit.

[Darrel]

You are terribly wrong, if the banking system collapses, gold will only profit.

Ho hum.

[Naam]

You are terribly wrong, if the banking system collapses, gold will only profit.

Ho hum.

seconded!

[exeter]

You are terribly wrong, if the banking system collapses, gold will only profit.

Ho hum.

seconded!

How many noodles do I get for this ring?

[Bpuumike]

You are terribly wrong, if the banking system collapses, gold will only profit.

Silver too

[Naam]

You are terribly wrong, if the banking system collapses, gold will only profit.

Silver too

what about som tam and prikh nam pla?

[nong38]

I hope it never comes to it but its better than q/tee for only nothing.