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I went to my intercambio today. There were 6 of us sitting round one table, 4 Spaniards and 2 English. I asked my Spanish friends if they thought that what is happening in Greece (possible exit from euro and maybe even economic meltdown) might happen here. They all answered YES and qualiified this by adding that if Podemos win at the next elections, especially if they get an absolute majority, this could easily happen in Spain too.
Am I panicking? Well, a little perhaps. If you have no options, then panicking makes little sense but most of us do have a few options - go back to UK or some other country, go for expat offshore banking, keep some money in another country or even under the bed (metaphorically). If you are renting accommodation, moving elsewhere is easier.
I would be very interested to hear what others are thinking and feeling and what measures you are considering taking to prepare for the possible storms ahead.
 

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I went to my intercambio today. There were 6 of us sitting round one table, 4 Spaniards and 2 English. I asked my Spanish friends if they thought that what is happening in Greece (possible exit from euro and maybe even economic meltdown) might happen here. They all answered YES and qualiified this by adding that if Podemos win at the next elections, especially if they get an absolute majority, this could easily happen in Spain too.
Am I panicking? Well, a little perhaps. If you have no options, then panicking makes little sense but most of us do have a few options - go back to UK or some other country, go for expat offshore banking, keep some money in another country or even under the bed (metaphorically). If you are renting accommodation, moving elsewhere is easier.
I would be very interested to hear what others are thinking and feeling and what measures you are considering taking to prepare for the possible storms ahead.
Well, I've stocked up on food, prepared the safe room, checked the rifles and ammunition....
Your Spanish friends are obviously not very politically aware. If they were, they'd know that Podemos got 12% - yes, 12% - of the popular vote and took control of a few town and city councils with the support of other Parties because in not one of them did they achieve a clear majority.
Frankly, I think it's ridiculous to even spare a second's thought to such nonsense. If Podemos were to come to power, what do you think they would do? Confiscate all the immigrant properties? Empty immigrants' bank accounts? Nationalise all women between the ages of sixteen and sixty?
I keep money in an offshore bank account, have done for years, but not because I'm fearful it may get emptied out by some bunch of left-wing loonies. I do it because it's convenient. I rent because I choose to.
The only possible 'storms ahead' are the usual ones we get round here, the ones with thunder, lightening and much-needed rain.
I wonder what the next 'panic' will be...Brexit? Or the fact that ISIS consider Andalucia to be part of their Caliphate...
Spain is my home. Now...where's that bottle of Rueda I had chilling in the fridge - now there's reason for panic, can't find the corkscrew...:cool:
 

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The voice of sanity, Mary! It would be quite some leap for Podemos to go from a 12% share of the vote in the regional elections to winning a majority at a General Election six months later.:D

We've been here before, haven't we, with the Cassandras confidently predicting that Spain would need a full scale bailout from the EU (it didn't), that the €100bn line of credit made available to bailout the Spanish banks would be nowhere near enough and they would need at least twice that if not more (they actually used only €41bn and have already made a couple of repayments well ahead of schedule, that Spain would exit the euro (it didn't), that the whole Eurozone would collapse (it didn't), there would be terrible civil unrest in Spain (there wasn't) and that FCO would have to organise the evacuation of British residents in Spain (they didn't), and that the Spanish Government were bound to copy Cyprus and seize money from all our bank accounts (they didn't).

I actually saw comments from some people on expat forums saying they were stockpiling food, after the recession struck and all these predictions of catastrophe were flying about! I wonder if they've eaten it all yet.

I own a house in Spain. The only reason I'd want to sell it would be to buy another one in Spain. Therefore whatever currency it would be priced in matters little to me. My income is in sterling, therefore if the euro loses value against the pound that's good for me. I transfer only whatever amount I need each month to my Spanish bank account. Like yourself I have an offshore bank account already, for no other reason than I could get a better rate of interest there, as I'm not able to open any new accounts in the UK.

Panicking? No way.
 

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Whether they have 10%, 100% or 200% debt to GDP is irrelevant as long as they can continue refinancing and kicking the can down the road. Meltdown only happens when they turn off the taps.

Basket-case as the Spanish economy may be, as long as the ECB is willing to print their way out of the problem and keep refinancing the debt, Spain is "safe". Yes, there will be unemployment, capital controls and stealth taxes but no meltdown. Spain is too big for the Eurozone to fail.

There are many more weaker links to bully and asset strip before the light shines on Spain.
 

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Whether they have 10%, 100% or 200% debt to GDP is irrelevant as long as they can continue refinancing and kicking the can down the road. Meltdown only happens when they turn off the taps.

Basket-case as the Spanish economy may be, as long as the ECB is willing to print their way out of the problem and keep refinancing the debt, Spain is "safe". Yes, there will be unemployment, capital controls and stealth taxes but no meltdown. Spain is too big for the Eurozone to fail.

There are many more weaker links to bully and asset strip before the light shines on Spain.
The Spanish economy is not a 'basket case' Where is your evidence for stating there may be 'stealth taxes' or 'capital controls'? There is no rush to withdraw money from Spanish banks. Scaremongering.
Yes, there is unemployment but it's falling and we all know many supplement paro by working on the black.
I am however concerned that in September or November, whenever the elections are held, PP may scrape into power supported by Cs. Now that thought has triggered mild alarm, but no panic as I found the corkscrew and am about to have another glass of Rueda to banish thoughts of a gloating Rajoy...
 

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I think it's pretty sad that there are Spanish people who are taken in by the few politicians who seem to be really scared of Podemos and friends and who have started a name calling scaremongering campaign against them.
The PP, especially in Madrid, has a much used tactic which is to say something a lot, a lot, a lot until the people just believe it as they've heard it so many times. Currently they are using this technique to sow seeds of "wisdom" about Podemos and other "alternative" parties, about how they are crazy, they want to bring down the system, they are anti family (because they are pro abortion) and they are communists who will take over your property as soon as they get in.
As others have said, Podemos will not win the elections. They have made a start in achieving some of their goals from their results in the local elections and the mere fact that people are talking about them and that some politicians find the time to insult them means that they've made a promising start.
I give classes in different companies in the Madrid area and no one has said anything about the situation in Greece or worries about this boiling over into Spain and neither has anyone else I know
 

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Lynn RLike yourself I have an offshore bank account already said:
I opened my offshore account when I lived in Prague as I used to get my TUC etc. expenses paid in sterling cheques and my Czech bank charged £15 handling fee for eachmcheque I paid in...some cheques were for £20! So
I opened sterling and euro offshore accounts.
Like you, I pay in 'running costs' to my Spanish account.
 

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If any panic is due I think it should stem from the recent "Ley Mordaza", not from any political issues happening in a country which has far more social and economic problems than Spain.

I think you should tell your friends to look for problems that are closer to home and could potentially have a big effect on their lives in the short term.

Españoles; Franco ha vuelto....
 

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If any panic is due I think it should stem from the recent "Ley Mordaza", not from any political issues happening in a country which has far more social and economic problems than Spain.

I think you should tell your friends to look for problems that are closer to home and could potentially have a big effect on their lives in the short term.

Españoles; Franco ha vuelto....

How very very true. But I fear many British immigrants will be blissfully unaware of this blatant assault on civil liberties, just as so many would-be immigrants seem oblivious to the state of the job market here.
As long as 'booze and ****' are cheap, who gives a toss...:rolleyes:
 

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If there's any reason to panic it's that the PP still show a small majority in opinion polls and this will increase after Rajoy's new promise of lower taxes, resulting them remaining in power for another term.

Incidentally Podemos's share (June) is 21.5%, not 12%. But I wouldn't worry about them, at least as long as Iglesias remains leader. By the time of the general election they will have become sufficiently mainstream to sit happily in a coalition with PSOE if necessary.

 

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If there's any reason to panic it's that the PP still show a small majority in opinion polls and this will increase after Rajoy's new promise of lower taxes, resulting them remaining in power for another term.

Incidentally Podemos's share (June) is 21.5%, not 12%. But I wouldn't worry about them, at least as long as Iglesias remains leader. By the time of the general election they will have become sufficiently mainstream to sit happily in a coalition with PSOE if necessary.

Are you confusing share of the actual May vote with voting intentions in June, though...Those inter-election polls obviously can't predict what the actual turn out on polling day will be.
It's good Iglesias has dumped his ideological baggage and faced the harsh world of reality. No need for barricades yet, then...
If some Trotskyite Izquierda Anti- Capitalista ultra like Teresa Rodriguez ever becomes leader the vote share will decline even more.
Podemos as junior partner in a PSOE-led coalition could be a very good thing for both Parties and of course for Spain.
If the Izquierda Anti-Capitalista element of Podemos got a sniff of real power then there could be problems for Spain, capital flight maybe, albeit not on the scale of Greece.
 

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Are you confusing share of the actual May vote with voting intentions in June, though...Those inter-election polls obviously can't predict what the actual turn out on polling day will be.
It's good Iglesias has dumped his ideological baggage and faced the harsh world of reality. No need for barricades yet, then...
If some Trotskyite Izquierda Anti- Capitalista ultra like Teresa Rodriguez ever becomes leader the vote share will decline even more.
Podemos as junior partner in a PSOE-led coalition could be a very good thing for both Parties and of course for Spain.
If the Izquierda Anti-Capitalista element of Podemos got a sniff of real power then there could be problems for Spain, capital flight maybe, albeit not on the scale of Greece.
This is last month's poll asking how you would vote in a general election if it were held tomorrow. It was done after the May elections. We know from the UK experience how wrong polls can be, of course, but it's also the case that some people will vote for a different party nationally than locally (as you know, local politics is as much about personalities as policies).

Teresa and her partner Kichi (the new mayor of Cadiz) have a lot of support in this area, where unemployment is the highest in Spain. There are pockets of what you would call left-wing extremism in other parts of Spain, e.g. in the old mining communities of Asturias, and parts of Sevilla province where the SAT (agricultural workers union) is strong. But I don't think there's any chance of them getting popular support outside those regions, at least not enough to win elections.
 

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I opened my offshore account when I lived in Prague as I used to get my TUC etc. expenses paid in sterling cheques and my Czech bank charged £15 handling fee for eachmcheque I paid in...some cheques were for £20! So
I opened sterling and euro offshore accounts.
Like you, I pay in 'running costs' to my Spanish account.
Mrypg9 / lynneR
Are you happy to tell me where you have your offshore accounts? I have to do something similar so a heads up would help me get started. Also is there any complications, or even benefits, with tax here?
 

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Mrypg9 / lynneR
Are you happy to tell me where you have your offshore accounts? I have to do something similar so a heads up would help me get started. Also is there any complications, or even benefits, with tax here?
Quite happy! I use Lloyds TSB. At one point I gave up on them but their service has much improved. OH has accounts with them too.
We have accounts in the Channel Islands, Isle of Man and Gibraltar.
No real benefits or problems with tax, these offshore banks report to the UK authorities if you pay UK tax and it's up to the account holder to regularise their affairs with hacienda.
People have odd ideas about offshore banks, that they're for the wealthy, tax dodgers and so on. Utter bollocks. They are convenient for anyone who has income or assets in more than one country or tax jurisdiction.
 

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Mrypg9 / lynneR
Are you happy to tell me where you have your offshore accounts? I have to do something similar so a heads up would help me get started. Also is there any complications, or even benefits, with tax here?
I had one with the Co-operative Bank in Guernsey until they went bust a couple of years ago. They had a reasonable interest rate on fixed term deposits. These days there is little difference in offshore and mainland rates for sterling, but banks like Nationwide International are worth keeping an eye on.

There is no real tax advantage AFAIK because you have to declare the interest in Spain as capital mobiliario, and it is taxed at the same rate as if it were in a British or Spanish bank. Also if you have more than €50k in the account you have to declare it on the Modelo 720 as an offshore asset.

If it's a current account you're after, these days there is no advantage when you want to transfer sterling to euros, because CurrencyFair, TransferWise do it the same day at excellent exchange rates. Maybe there are other advantages to offshore banking which I'm unaware of, but I manage fine with just a UK and a Spanish account.
 

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Recently opened a Euro account with Lloyds based in Isle of Man.

To register for online banking was a disaster. The website did not work. It wasn't even documented correctly. It certainly had not been tested (which is what I do for a living ;)). Took me more than 6 weeks and dozens of attempts - often with there support on the phone - to eventually register.

To be fair they paid 41 Euros in compensation without me asking.

I use the savings account version as have no wish for a debit card for such an account. Beyond these initial issues it does what it says on the tin. Pays sweet bu**er all in interest but that's life at the moment.

However if you want to deal in large sums read the small print regarding maximum transfer amounts.

HTH :cool:

ps: Did it because I wouldn't trust a spanish bank with anything beyond a monthly expenses budget amount.
 
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