Business World

Thursday 19 October 2017

EU Commission: new law could include bail-in of uninsured deposits

IT might be possible for large uninsured depositors to be "bailed-in" as part of the future resolution of a bank under a new draft EU law, the European Commission said on Tuesday, but savers with less than €100,000 at a bank would not be hit.

"At no point is it possible to bail in depositors under €100,000, either now nor in the future," said a spokeswoman for Michel Barnier, the European Commissioner in charge of financial regulation.

"In the Commission's proposal, which is under discussion, it is not excluded that deposits over €100,000 could be instruments eligible for bail-in," spokeswoman Chantal Hughes told a regular briefing. "It is a possibility."



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