Swiss National Bank will cut interest rate to minus 0.25 percent

[webfact]

Swiss National Bank will cut interest rate to minus 0.25%

(BBC) Switzerland's National Bank (SNB) will bring in a negative interest rate cutting the value of large sums of money left on deposit in the country.

The Bank is imposing a rate of minus 0.25% on "sight deposits" - a form of instant access account - of more than 10m Swiss francs ($9.77m).

It is trying to lower the value of the Swiss franc, which has risen recently.

Russia's market meltdown and a dramatic plunge in the oil price have led investors to seek "safe havens".

The announcement sent the franc lower, and in early trading the euro was buying 1.201 Swiss francs, fewer than the 1.203 it was worth before the news, just within the target.

Switzerland typically sees money flow in during economic uncertainty.

The new rate will be introduced on 22 January and will only affect banks and large companies who use the "sight account" to transfer funds quickly and without restrictions.

Full story: http://www.bbc.com/news/business-30528404


-- BBC 2014-12-19

[happysoul]

Dear BBC, learn your math before writing. 1 CHF = 1.02$

Cheers

[stevehaigh]

LOL, the bank is charging you rent on your money

[nahkit]

Dear BBC, learn your math before writing. 1 CHF = 1.02$

Cheers

Got it the wrong way around or just used a different rate?

Edited December 19, 2014 by nahkit

[siampolee]

We see yet again the international bankers are committing grand thefts of peoples money .

However as most of the worlds''dirty money'' seems to make its way into the Swiss banking system perhaps this move is poetic justice.

Those with criminal minds and criminal incomes have it seems may just have met their financial Nemesis.

Edited December 19, 2014 by siampolee

[Robert24]

Dear BBC, learn your math before writing. 1 CHF = 1.02$

Cheers

where you see a wrong calculation in this BBC article?

I only see Euros and CHF referenced, no mention about USD.

[cooked]

We see yet again the international bankers are committing grand thefts of peoples money .

However as most of the worlds''dirty money'' seems to make its way into the Swiss banking system perhaps this move is poetic justice.

Those with criminal minds and criminal incomes have it seems may just have met their financial Nemesis

Yes. I was just going to write something like 3, 2, 1: wait for the first knee jerk reactions about cuckoo clocks and dirty money (the Jews will come up later). Do some reading about the US State of Delaware, the British Virgin Islands, the Isle of Guernsey, Seychelles, Singapore, Phillipines (Thailand...) and all the rest. ....

too late.

Small, private savers will not have to put up with negative interest rates, they are down around 0.5 to 0'25% as it is.

Edited December 19, 2014 by cooked

[happysoul]

Last line first paragraph, 10 mio CHF ($9.77mio). Wrong, 10mio=$10.02mio. Personally I don't care but makes me laugh when a guy called journalist makes such mistakes.

And I don't think switzerland is now the best place for criminal money. What people like is the stability of the Swiss franc. And a bank account in CHF can be opened anywhere in the world...

Cheers

[Baerboxer]

We see yet again the international bankers are committing grand thefts of peoples money .

However as most of the worlds''dirty money'' seems to make its way into the Swiss banking system perhaps this move is poetic justice.

Those with criminal minds and criminal incomes have it seems may just have met their financial Nemesis

Yes. I was just going to write something like 3, 2, 1: wait for the first knee jerk reactions about cuckoo clocks and dirty money (the Jews will come up later). Do some reading about the US State of Delaware, the British Virgin Islands, the Isle of Guernsey, Seychelles, Singapore, Phillipines (Thailand...) and all the rest. ....

too late.

Small, private savers will not have to put up with negative interest rates, they are down around 0.5 to 0'25% as it is.

You can read all you want about the other tax havens with liberal banking rules. But Switzerland has been home to secretive no questions asked banking for a lot longer, and on a bigger scale. Once wealth is accumulated, no matter how, and held onto for a long time a veneer of respectability ensues.

Nothing knee jerk about the history of Swiss banking and its complete lack or morality. And strangely enough, that's exactly where much of the wealth looted by Nazis ended up. Good attempt at trying to spike that reality too!

[cooked]

We see yet again the international bankers are committing grand thefts of peoples money .

However as most of the worlds''dirty money'' seems to make its way into the Swiss banking system perhaps this move is poetic justice.

Those with criminal minds and criminal incomes have it seems may just have met their financial Nemesis

Yes. I was just going to write something like 3, 2, 1: wait for the first knee jerk reactions about cuckoo clocks and dirty money (the Jews will come up later). Do some reading about the US State of Delaware, the British Virgin Islands, the Isle of Guernsey, Seychelles, Singapore, Phillipines (Thailand...) and all the rest. ....

too late.

Small, private savers will not have to put up with negative interest rates, they are down around 0.5 to 0'25% as it is.

You can read all you want about the other tax havens with liberal banking rules. But Switzerland has been home to secretive no questions asked banking for a lot longer, and on a bigger scale. Once wealth is accumulated, no matter how, and held onto for a long time a veneer of respectability ensues.

Nothing knee jerk about the history of Swiss banking and its complete lack or morality. And strangely enough, that's exactly where much of the wealth looted by Nazis ended up. Good attempt at trying to spike that reality too!

Those days are gone. There is no morality where money is involved but I get sick of hearing and reading this twaddle all the time. Jewish and other money: Switzerland was 100% physically surrounded by the Axis powers and it was a case of cooperate or be invaded. They also did banking for the UK and the USA. Of course dirty money went there. Today the neutrality and independence of the place obviously attracts 'offshore funds'. The days of anonymous bank accounts are over as I wrote and less and less entities are sending their money there. The fact that the interest rates are hovering around zero or are minus is a sign that the Swiss don't want any more foreign funds coming into the country and is a sign of a strong economy. The banking sector in Switzerland produces 11.6% of the GDP, look at http://en.wikipedia.org/wiki/Economy_of_Switzerland .

[Asiantravel]

LOL, the bank is charging you rent on your money

along with an added caveat that they will feel perfectly justified to seize your money at any time

[ABCer]

Why go as far as Swiss banks?

SCB right here in Thailand is not bad at all:

My own money. Deposited 3M Bt in Pattaya branch.

Came to withdraw in SCB Rayong. Nope, can't do.

Limit of 1M Bt per day! And charged 600 Bt per each withdrawal...

Total - three trips in three days and total cost to me 1,800 Bt. My own money!

High class operation!

Come to think of it - I was happy I got it back...

Edited December 22, 2014 by ABCer