Hi,
I recently purchsed some Derbyshire PIBS for my SIPP and ISA. Reason (it seems maybe wrong), I thought the DBS was a local, mutual BS proving local mortgages from local savers. Hence pretty safe. I also understand that no BS has ever missed a payout on PIBS; also the yield was decent. Also PIBS "should" be ideal when moving the SIPP into drawdown for a regular retirement income.
Now DBS (also Chesire BS) will be taken over by Nationwide on Dec 01 (per announced plan - with no member vote and no windfall). It also seems they "may" have been dabbling in American mortgages and "may" be in a bit of trouble.
Your thoughts please on:
- How safe is my principal (it's not gov't secured like plain, old savings accounts.)
- How likely are the scheduled interest payouts from the PIBS.
As I persuaded my ex-wife to also do this, acting as her financial adviser, I'm a bit concerned. Crikey, it seems even the apparantly safe investments may not be.
I will call DBS tomorrow for thier words on this. Thanks in advance.
Jim.