# Cyprus Banks



## MacManiac (Jan 25, 2012)

It is going to be necessary for us to open a bank account in Cyprus when we arrive and I understand that this a straightforward process. The question is … which bank?

Reading about the problems in the financial sector in Cyprus (and the UK financial sector is such a shining light), we would appreciate some advice.

We intend to keep a UK bank account and transfer money, via Currency Fair, as and when needed, probably on a monthly basis.

Presumably we can't open a bank account until we arrive, unless I am mistaken, so recommendations would be appreciated, even those which say "I wouldn't touch that bank with the proverbial bargepole." Perhaps those sort of comments might be better by PM.


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## Pam n Dave (Jun 11, 2007)

There are two banks asking for money from the government and another that keeps being mentioned on forums for erratic charges. A fourth bank seems not to come under the normal banking regs and is resisting opening it's books to the ECB, IMF etc who are looking into the bailout. 

Some banks seem to be based in Greece who have just had a bailout.

Another bank seems to be connected with the Church and appears not to have too much bad publicity attached to it.

If it's OK with Veronica then either she or I can edit the above and add the names. If not then Google must be your friend on this one.


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## Veronica (Apr 5, 2008)

Feel free to add the names, the information is out there anyway so its not as if it is just rumour or tittle tattle.


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## soppik (Apr 30, 2012)

We have read that the main bank in Cyprus is signed up/ covered by the UK FSA. You will be covered for up to 80% of the first £20,000 should need arise.


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## Guest (Aug 13, 2012)

soppik said:


> We have read that the main bank in Cyprus is signed up/ covered by the UK FSA. You will be covered for up to 80% of the first £20,000 should need arise.


Sorry but I really doubt that information. EU rules say that Cyprus Government should cover up to 100000 € per account. The UK Branch of Bank of Cyprus have other rules, cover 85000 pound, but if so it does not in any way affect the Bank of Cyprus in Cyprus.

"

Anders


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## MacManiac (Jan 25, 2012)

I understand that, from reading around on the various forums, there is a concern that whatever the guarantee the banks/government offer, there is an understandable concern whether the guarantees would be honoured, and if they were honoured over what period of time.

Hence our plan to have our income paid into a UK bank and then transferred as and when needed to our Cypriot bank so as to limit our exposure in case said bank goes to the wall.


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## Guest (Aug 13, 2012)

MacManiac said:


> I understand that, from reading around on the various forums, there is a concern that whatever the guarantee the banks/government offer, there is an understandable concern whether the guarantees would be honoured, and if they were honoured over what period of time.
> 
> Hence our plan to have our income paid into a UK bank and then transferred as and when needed to our Cypriot bank so as to limit our exposure in case said bank goes to the wall.


I am 100% sure that the Cyprus Government, as well as UK government will fully honour this agreement

Anders


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## MacManiac (Jan 25, 2012)

Vegaanders said:


> I am 100% sure that the Cyprus Government, as well as UK government will fully honour this agreement
> 
> Anders


In the light of the current economic situation, I have my doubts about this. I have never researched anywhere in the depth I have researched Cyprus, as we have never decided to relocate to another country before. Going on holiday doesn't really count as, if things are awful, you put it down to experience and go somewhere else next time.

I've never really considered myself as a "belt and braces" sort of person, but I do worry about the financial black hole that many countries (including the UK) seem to be in. With small countries like Cyprus, whose borrowing is severely curtailed, and who are locked into the Eurozone, the room for manoeuvre seems very limited.

I am sure that the Cyprus government is as sincere as any other in giving guarantees but whether it can live up to them if push comes to shove is another matter. Hence the reason for my caution in choosing a bank. Interestingly I have had a number of PMs on the subject and there is a distinct theme running through them.


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## Guest (Aug 14, 2012)

MacManiac said:


> In the light of the current economic situation, I have my doubts about this. I have never researched anywhere in the depth I have researched Cyprus, as we have never decided to relocate to another country before. Going on holiday doesn't really count as, if things are awful, you put it down to experience and go somewhere else next time.
> 
> I've never really considered myself as a "belt and braces" sort of person, but I do worry about the financial black hole that many countries (including the UK) seem to be in. With small countries like Cyprus, whose borrowing is severely curtailed, and who are locked into the Eurozone, the room for manoeuvre seems very limited.
> 
> I am sure that the Cyprus government is as sincere as any other in giving guarantees but whether it can live up to them if push comes to shove is another matter. Hence the reason for my caution in choosing a bank. Interestingly I have had a number of PMs on the subject and there is a distinct theme running through them.


Sorry but I dont agree. I am sure that Cyprus will honour the regulations. The deficit is very small compared to all other problem states and can be very easy covered if necessary. 

But that is only my view of the problem


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## MacManiac (Jan 25, 2012)

Vegaanders said:


> Sorry but I dont agree. I am sure that Cyprus will honour the regulations. The deficit is very small compared to all other problem states and can be very easy covered if necessary.
> 
> But that is only my view of the problem


I hope you are right but only time will tell. I can never decide whether the glass is half empty or half full.


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## Veronica (Apr 5, 2008)

I tend to agree with Anders that in the unlikely event that any bank does collapse the guarantee of up to 100K will be honoured, although it might take a long time to get that money back.
The safest thing is to spread your money around among the different banks so that if one goes down you are not left with no money for any length of time.


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## Pam n Dave (Jun 11, 2007)

I think the time for editing the original post has expired so here is the updated version. 

Laiki and The Bank of Cyprus are asking for money from the government in order to meet EU rules and Alpha keeps being mentioned on forums for erratic charges. The Co-op bank seems not to come under the normal banking regs and is resisting opening all it's books to the ECB, IMF etc who are looking into the bailout. 

Alpha and Piraeus banks seem to be based in Greece who have just had a bailout.

Hellenic bank seems to be connected with the Church and appears not to have too much bad publicity attached to it.

There are other banks around such as the USB but they don’t feature much if at all in the news.


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