Bradford & Bingley:Is my isa safe?

[JJy2k]

I read today that Bradford & Bingley are in the red. Should it go pear shaped, will my ISA be safe? Is it government protected should they go bust?

[spheric]

B&B are in the compensation scheme, same as all the other high-street banks.

I think its the first 30k thats 100% guaranteed, so if you're under the magic limit you're totally safe (ignoring the government possibly being slow about it if the worst ever did happen)

[Ethel]

The first �35 per institution is safe,so if you have more than that spread across different companies, be sure they are not in the same umbrella company

[mightylegend]

Sadly the panic caused by investors moving money or removing it from northern rock was the biggest cause of the companies problems.Sacemongering in the press in the uk led to the massive queues and the loss of confidence in the banks.
Im sure that if more people had left their money in place the bnank would be in a far more secure position today , as would the uk taxpayers.

The same week that northern rock asked to borrow money 3 spanish banks did the exact same , there was no great outcry in the press and the banks are as solid as they were before.
The problem is loss of confidence can lead to a crash in markets and banks like that in the 1930s in america.

Hopefully b&b are ok , but i think many banks are in the red , but will pull thru .

[mightylegend]

If any bank in the UK fails then savers would only face losing their money if they had more than �35,000 in an isa account.

[JJy2k]

Thanks guy's. I have far less than that, not even 4k, so glad to hear it will be safe. Cheers.

[WoWo]

"Sadly the panic caused by investors moving money or removing it from northern rock was the biggest cause of the companies problems"

Rubbish, the problems at Northern Rock were all due to an appalling loan book.