Government

The Federal Government now for the savings of its citizens stands with a full guarantee of an estimated 1,000 billion euros. In the middle of the session to rescue hypo, our Finance Minister with a statement to the public, which should reassure especially private investors and savers went real estate last Sunday. The State wants to take over a full guarantee for all private savings deposits at domestic banks. What exactly that means, becomes clear only when you look at the corresponding figures are. Follow others, such as Dollar General (DG), and add to your knowledge base. Above the legal basic allowance of maximum 20,000 euros per investor and this only to 90%, there are a number of liability connected and guarantee funds, which are currently either unlimited or but amount limited to the savings of investors. According to current estimates, the Germans have accumulated 1,200 to 1,600 billion euro savings accounts, day and date funds. Even if offers safe at first glance, including the 1822 direct day money account, where the banks of the Sparkassen – Finanzgruppe without amount limit for the savings of the customer shall be liable, has it been until then questionable whether the Institute would have to provide so much money.

Currently about 3-5 billion euro in the pot are cooked at the insurance fund of the Federal Association of German banks. That would not even have been enough in extreme cases for a medium-sized bank investor-compensation to speak not only of the industry giants. As a result that the Federal Government now but gave a guarantee of an estimated 1,000 billion euros, can investors sleep again reassured, for now only a bankruptcy might jeopardize their deposits and in such a case would be relatively worthless paper money. Alongside the State has prevented that investors of full panic had withdrawn their savings and put the banks in real cash-flow problems. Under the current aspects, thus this form of investment can be again fully recommended, as long as the money on the account of a domestic bank is. Daniel Franke