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Cyprus Bank making problems

Posted by gazzaga - Created: 9 years ago
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10 replies (Showing replies: 1 to 10)

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Posted by baxi-666881 - 9 years ago

the banks are a law unto there selves .

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Posted by gazzaga - 9 years ago

I had another fantastic experience of Cyprus Banks The A bank who hold my business accounts cleared the whole balance of GBP £86.24 out of the account as 'service charge'. I called them. "there is a charge of €70 per 6 months for a foreign currency account" they told me. I asked why then take nothing between Feb 2009 (account opened) and then take £86.24 in one hit 15 months later. "it's the exchange rate" she replied. I asked her when did €70 eaqual £86,24? "that was all there was in the account so we jusyt took that amount. We won't take the balance of the charge" she replied.

Once I'd stopped laughing and collected myself from the floor of my office I (not) politely told A Bank that their scandalous tratment of my mortgage left me no option but to transfer it away and I would be doing the same with the money in my business account (which is always in credit and has quite a healthy balance (in Euro).

As a side note, my colleague who has exactly the same set up as I do, only had £8,65 in his Sterling account so A Bank just took that.

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Posted by Joanna0701 - 9 years ago

With ref to the original message posted, im glad the banks over here are so cautious, my mum had 1500 GBP stolen from her by some unknown person in London posing to be her at the bank and a vary careless bank worker handing over the cash without bothering to make any checks!.I have a POA for my parents over here and have shown various forms of ID but they still give me problems when i go to the bank on their behalf and i dont mind at all, id rather it was like that than loose more money.
With the amount of crime going on today, what do you expect? and as for them trying to retain customers, i understand them how both sides feel, but if it is a certain well known bank that has red signage, stay away as not only are they very rude don't trust them for a second!

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Posted by Nigel Howarth - 9 years ago

Hi gazzaga

I was reading somewhere that loans on property amount to some €5 billion - and there is a worrying article about the Central Bank at http://www.stockwatch.com.cy/nqcontent.cfm?a_name=news_view&ann_id=117925

Things are not looking good!


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Posted by gazzaga - 9 years ago

Thanks Nigel. I saw it in the Financial Mirror. Not before time in my opinion. I've long held the view that many of the banks here have some serious issues with over- exposure to the property market. If they had to call in all the land assets that they hold as security they'd find that most of them have been sold on in the form of houses, apartments etc. A 'toxic asset' if ever there were one.

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Posted by Nigel Howarth - 9 years ago

Hi gazzaga,

I guess you may have read about Moodys putting Cyprus’ three main banks under review - http://www.cyprus-mail.com/cyprus/moody-s-puts-cyprus-three-main-banks-under-review/20100528 ?

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Posted by babymumma - 9 years ago

I think the banks here seem to be over cautious with things like payment instructions - they need to be on the banks actualy payment instruction form and normally delivered by hand... that's just my personal experience and is probably how things were in the UK 20 or so years ago. Cyprus is just behind the times

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Posted by gazzaga - 9 years ago

Hi Journo

These specific cases were with a branch here of a Grrrk bank. I'm well aware of the AML procedures as I was a manager with with the offshore arm of a high street bank whan they were introduced.

The fact here is that this bank has in the past completely ignored letters sent to it asking for transfers away and has badgered clients wishing to transfer funds.

I do feel that the local banks, most of whom have operations in Greece and are exposed to the problem, tend to use similar tactics. If I set up an investment for a client and send a TT instruction to a UK bank, the payment is made, quite rightly after the security checks are completed. I wouldn't consider dsending the same instruction by post to any bank operating here as they tend to be 'lost'

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Posted by journo-666338 - 9 years ago

gazzaga, you talk in the penultimate sentence about 'struggling Greek banks'.... so are you actually talking about branches of Greek banks here in Cyprus, or actual Cypriot banks (two completely different things).

Unfortunately banks globally have become increasingly bureaucratic regarding transfer of funds from one country to another, citing 'anti money-laundering' legislation.

Clients who have had the same accounts for decades with big UK and international banks are now reporting an increase in the paperwork for them to manage their own accounts and transfer their funds across borders. However I've not received reports from anyone having greater problems here in Cyprus.

Certainly it's factual that at the start of the media coverage of the economic crisis in Greece there were significant numbers of Greek nationals flying in to Larnaka, cash in hand (or rather in briefcases), looking to open accounts in Cypriot banks.

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Posted by lookingfor-699188 - 9 years ago

There are rumours going on in Cyprus several banks that reside in Greece and have a branch in Cyprus are loosing customers.
As Greece economy its struggling to cope, banks do not want to go bankrupt.
I think that might be the case of the bank causing trouble refusing to help its client and loose more money.