Half a year ago I decided to get an Icelandic bank account since they provided an awesome interest rate compared to my old bank, after getting it though I decided against using it because of the financial trouble that has been brewing on Iceland the last year or so. I went with a Norwegian bank instead – Bank Norwegian. I still have an account at Kaupthing and they send me emails from time to time, which content has become more and more desperate..
About two weeks ago the first Icelandic Bank basically went under and had to get help from the Icelandic state – Glitnir. Days later I got the follow email from Kaupthing:
“Kaupthing Bank is solid. Kaupthing Bank’s posision is very good and will not require assistance from the Icelandic government, unlike another Icelandic bank… etc.. etc.. blah blah blah…”
Followed by an email 3 days ago saying that they are increasing the interest rate (meaning that they need more money..)
Today the Icelandic state went in and took over Kaupthing, and it now controls all three of the largest banks on Iceland. Hours later Kaupthing locked down all bank accounts, it’s not possible to use credit/debit cards, or the online bank service. There is no way to use or withdraw your money. Which led to the email that I just received..
“Because of a very complicated situation and a large amount of email, we’re sorry to inform you that we are unable to answer any inquiries via email. Please follow our web pages and online bank for more information… blah blah blah..”
Kinda glad I didn’t go with Kaupthing right now :p