What is happening to deposits in Anglo Irish Bank and Irish Nationwide?

Some €7.1 billion in deposits held in Anglo Irish Bank has been transferred to AIB and deposits totalling €3.6 billion held in Irish Nationwide have been transferred to Irish Life Permanent (ILP)

The transfer of the deposit books is part of the restructuring of the two institutions, which is in turn a condition of Ireland’s finance agreement with the EU and the IMF.

What do Anglo and Nationwide depositors have to do?

The deposits have transferred to AIB and ILP automatically, so no immediate action is required. They will continue to have access to their funds through their usual routes at Anglo and Irish Nationwide.

What happens to the terms and rates that apply to the deposits? The conditions attached to deposits, including the maturity and interest rate, will be unaffected by their move to AIB or ILP, which will fully honour the terms of the accounts.

Will the deposits still be protected by the Government guarantee?

Transferred deposits also retain the same level of protection under the deposit guarantee scheme in respect of amounts up to €100,000 per depositor, per institution and the eligible liabilities guarantee (ELG) scheme in respect of amounts over €100,000.

UK deposits will retain the protection of the ELG and will be covered under the terms of the UK Financial Services Compensation Scheme. This provides eligible customers with a guarantee of up £85,000.

What happens next?

AIB said yesterday it welcomed its 120,000 new customers and would write to them in the coming days. The helpline for Anglo Irish Bank is 1850 442 222, while the AIB number for Irish customers is 0818 300 182.

ILP said it was beginning an extensive communications campaign with Irish Nationwide depositors. More information is at irishnationwide.ie. Anglo Irish Bank and Irish Nationwide will also write to affected account-holders.