Five questions about the bankruptcy of the Amsterdam Trade Bank
What is going on?
The Amsterdam Trade Bank is bankrupt, it was announced on Friday evening. There are against the Russian parent company Alfa Bank, during the entire business operations came to a standstill. Due to the measures, ATB was no longer able to access essential systems, specially selected software.
And ATB’s savings accounts were activities on checking accounts with other banks. Those banks, Rabobank and ABN Amro, receive payments to and from ATB. Some bank suppliers get even worse. That is why ATB filed for bankruptcy of its own.
Can my bank also go bankrupt?
In principle yes, even if your bank has no Russian connections. This often happens after a bank run, when all account holders withdraw their money. But don’t worry, it happens often. In 2009, DSB Bank went bankrupt after a bank run and the same fate befell the Tilburgsche Hypotheekbank (THB) in 1983. THB had proven sure to be collateral opposite.
Is it better to keep my money in an old sock than at a bank?
Just wear those socks on your feet or throw them away if they have holes in them. With a view to theft, it is wise to keep a lot of money at home. Moreover, you do not lose your money if a bank goes bankrupt. The Dutch Deposit Guarantee guarantees the money in accounts with Dutch banks. And if your money is placed with a foreign bank in the European Union, you are also protected. In addition, you have to get your money within 20 daysno matter which bank in the EU you are with.
How does that work at a Dutch bank?
Up to 100,000 euros by Bank will be refunded via De Nederlandsche Bank. If you have more savings, it is therefore wise to spread that money over several banks. Within ten days, ATB customers who had deposited less than a hundred thousand euros at the bank can access their money again, DNB reported by Minister Kaag (Finance). If you had more money, you must submit a request to one of the trustees. But then – if you get something at all – you can wait a long time. In this way, the settlement of the bankruptcy of DSB Bank took no less than twelve years.
I was a customer of ATB, what should I do now?
You will receive a letter from DNB within a week. The Dutch central bank will open a special portal on its website within a week. Here you can indicate on which payment you want to receive money (if less than a ton). Don’t worry about running out if you’re the last to apply. The deposit guarantee fund that has been implemented by the resolution in the Netherlands since 2016 has a size of more than 3 billion euros.