Greens have come up with a brand new tax!

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The Green Party is calling for a bank deposit insurance scheme to protect savers’ money.

New Zealand is the only country in the OECD that has not introduced deposit insurance in case a bank fails.

That means in the unlikely event that one of the banks failed, the savings of its customers could be used to help bail it out.

Greens co-leader James Shaw says every other country in the OECD has moved to protect savers’ deposits with insurance.

“Australians saving with the parent banks of ANZ, BNZ, ASB, or Westpac all have their deposits guaranteed up to $250,000. Kiwis saving with these same banks get no protection whatsoever.”

Kiwibank deposits have been guaranteed by its owner, NZ Post, but NZ Post has indicated this will end if ACC and the Super Fund become co-owners of the bank.

NZ Post must give 3 months’ notice before it ends the guarantee. There was a short-term Government guarantee during the fiscal crisis, but this was withdrawn when the crisis was considered over.

What a clever move.  Stick it to the nasty rich-prick foreign owned banks!   Of course, as per usual, nothing is free so we all end up paying for it eventually.

“Bill English can’t seriously expect everyday savers to analyse the loan books of banks to assess their credit risk when they open their accounts, let alone do this on a six-monthly basis,” Mr Shaw says.

Instead he is proposing small investors be protected up to an amount of $100,000.

He says this could be funded through a small regular premium paid by the trading banks to an insurance pool to be used to protect small depositors.

Mr Shaw estimates this would lead to an added cost of around $5 to $10 per customer per year. He says this would be a “small price to pay to know your savings are safe no matter what”.

Because we all lost our savings to the banks… when exactly?  By the time our banks fail, and the government won’t step in like it did before, the likelihood insurance companies would pay out under those economic circumstances is pretty remote.

 

– Newshub


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As much at home writing editorials as being the subject of them, Cam has won awards, including the Canon Media Award for his work on the Len Brown/Bevan Chuang story.  And when he’s not creating the news, he tends to be in it, with protagonists using the courts, media and social media to deliver financial as well as death threats.

They say that news is something that someone, somewhere, wants kept quiet.   Cam Slater doesn’t do quiet, and as a result he is a polarising, controversial but highly effective journalist that takes no prisoners.

He is fearless in his pursuit of a story.

Love him or loathe him.  But you can’t ignore him.

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