EU Press Release 27 June 2013: At the ECOFIN Council of 27 June 2013, finance ministers of the Member States agreed on a General Approach on the draft directive establishing a framework for the recovery and resolution of failing banks….  In parallel the Parliament and Member States should finalise the framework for Deposit Guarantee Schemes (DGS, see IP/10/918). This would support and strengthen the agreement reached today so that depositors continue to have full protection of their deposits under 100 000 EUR even when a bank runs into trouble. EU leaders have clearly indicated that both directives should be agreed rapidly together. Passed by The EU Council of EU heads of government (van Rompuy 28. June 2013).

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As predicted, Cyprus was just the beginning of stealing our savings. The EU finance ministers just agreed on following the Cypriot model of securing bank accounts of up to 100.000 euros - and stealing what exceeds that amount in case of bank insovency. And this comes as no surprise: Euro Chief Jeroen Dijsselbloem said in April: “The solution agreed for Cyprus will be from now on the standard arrangement for any future financial bailout or rather bail-in in Eurozone.” The poor man was harrassed by hypocritical EU governments calling Cyprus an exceptional case . On 27 June the same leaders adopted the Cypriot model!!

In April, MEP Nigel Farage strongly admonished people to take their money out of the Eurozone to avoid the theft by people who disregarded the rule of law and democracy. He is now  proven to be right.

Reuters 27 June 2013: Finance ministers from the bloc’s 27 countries emerged with a blueprint to close or salvage banks in trouble.
The plan stipulates that shareholders, bondholders and depositors with more than 100,000 euros should share the burden of saving a bank.
The rules break a taboo in Europe that savers should never lose their deposits, although countries will have some flexibility to decide when and how to impose losses on a failing bank’s creditors.

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They can affect German savers just as well as any other investor in the world,” German Finance Minister Wolfgang Schaeuble (right) said after the meeting.

The European Union spent the equivalent of a third of its economic output on saving its banks between 2008 and 2011, using taxpayer cash but struggling to contain the crisis and - in the case of Ireland - almost bankrupting the country.

But a bailout of Cyprus in March that forced losses on depositors marked a harsher approach that can now, following Thursday’s agreement, be replicated elsewhere.

French Finance Minister Pierre Moscovici signaled that ministers also agreed to French demands that the euro zone’s rescue fund, the European Stability Mechanism, can be used to help banks in the 17-nation currency area that run into trouble.

Under the rules, which would come into effect by 2018, countries would be obliged to distribute losses up to the equivalent of 8 percent of a bank’s liabilities, with some leeway thereafter.

Europe can now focus on building the next pillar of a project to unify the supervision and support of banks in the euro zone, known as “banking union.”

But thorny issues lie ahead, not least whether countries or a central European authority should have the final say in shutting or restructuring a bad bank.

The European Commission, the EU executive, is expected to unveil its proposal for a new agency to carry out this task of “executioner” as early as next week, officials said.

The ECB will run checks on banks under its watch. This new EU law on sharing losses could be used as the blueprint for closing or salvaging those banks it finds to be weak.

The second leg of banking union would be the resolution authority to shutter banks or restructure them. But the pace of progress depends in large part on Germany, which is reluctant to agree to such a move ahead of elections in September.

Comment
The latter remark is typically dishonest: Make the electorate believe what it likes - till after the election!

We are being deceived in all possible ways. As for the “safe” deposit ceiling, we have already for a couple of years had such a ceiling of 750.000 DKR corresponding to - imagine - 100.000 euros. This ceiling thus seems to have been planned years ago!

What you can do as a depositor is to distribute your savings in several banks of good reputation - having an account of 100.000 euros in each bank. Your wife can have  similar accounts in the same banks.