How Does a Private Vault Secure Your Assets From the Bank Bail-In Law?
The passage of the Bank Bail-In Law in February of 2018 via a voice vote has made many financial analysts and experts wary of its ramifications for all Australians. At its core, this piece of legislation brings Australia in line with the Bail-In agenda of the Bank of International Settlements (BIS) as agreed at the G20 in 2014 in Brisbane. This could prove to be problematic for depositors in several ways. However, you can still protect your assets from this rather nefarious law. Today, we’ll talk about how does a private vault secure your assets from the Bank Bail-In Law.
The Bank Bail-In Law at a Glance
The Financial Sector Legislation Amendment (Crisis Resolution Powers and Other Measures) Bill 2017 or the Australian Bail-In Law gives the Australian Prudential Regulation Authority (APRA) “crisis powers” allowing it to, among other things:
- Secretly step and run distressed banks;
- Bail in distressed institutions using the creditors of the bank instead of using taxpayers’ money;
- Confiscate and write off certain types of bonds and hybrid securities; and
- Confiscate cash savings of self-managed super funds (SMSFs).
This puts depositors in a compromised position should banks in Australia suddenly be in crisis. Moreover, despite the existence of the government’s depositor guarantee scheme up to $250,000 per Authorised Deposit-taking Institution (ADI), it is currently inactive and it can only be activated by Government at their discretion.
What’s more, if you put assets in a bank-operated safe deposit box, there is no guarantee that your valuables are safe. There’s no telling whether or not what happened in Cyprus in 2013, where the banks confiscated the deposits of their major clients, will also take place here.
Private Vaults vs. Bank Bail-In
The good news is you can still protect your assets through placing your assets private safe deposit boxes.
Unlike financial institutions like banks, private vaults offer better security for the assets you’ve worked so hard to incur. Since they are not regulated by the government, they are safeguarded from regulations like the Bank Bail-In Law so the items you store in these private facilities, be it fiat currency, precious metals like gold and silver, family heirlooms, and the like, are in safe hands.
What’s more, these private service providers also ensure shorter transaction times, multiple levels of state-of-the-art security, insurance against theft or damage, and anonymous safety deposit box rentals.
Your Best Bet For a Private Vault In Australia
At Private Vaults Australia, we have private vaults that secure your assets from the Bank Bail-In Law. We lease safe deposit boxes and private vaults in various sizes to individuals and businesses. Private Vaults Australia is a secure private vaulted storage facility featuring 24-hour surveillance located conveniently in North Brisbane, servicing surrounding areas and Sunshine Coast.
As the only private vaulted storage facility in North Brisbane, we can accommodate over 3000 safe deposit boxes secured with a Class 2 vault door. Our entry procedures have been designed to maximise the protection of your valuables and irreplaceable documents.
What’s more, we offer an insurance of $10,000 is included per safety deposit box.
If you want to know more about how does a private vault secure your assets from the bank bain in law, then call us on 1300 888 782.
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