Banking system problems, caused by social unrest

Chile Investment, how to invest in Chile, what to watch out for when investing, economic issues, currency exchange in Chile, and more.
Post Reply
User avatar
admin
Site Admin
Posts: 18890
Joined: Sat Aug 26, 2006 11:02 pm
Location: Frutillar, Chile
Contact:

Banking system problems, caused by social unrest

Post by admin » Fri Oct 25, 2019 11:19 am

so, this social unrest has caused among other economic problems, disruptions in the banking system, including the online and interbank transfer systems.

santander bank in frutillar has shut early for various reasons over the last few days. other banks are having similar problems.

what we have found out from our friends at the bank is that all banks are having troubles.

the computer data centers have been damaged or burned in Santiago.

the call centers have been burned and

workers can not get to work, and many are not going in to work for safety reasons. I would not want to be sitting in such a high profile target all day either.

payments to accounts, between banks, are bouncing

FX systems have crashed, so the banks can not complete exchanges as they can not get quotes for large transactions. which might in part explain the oddly stable peso to dollar exchange rate.

for the time being, this is mostly annoying; but we are approaching the end of the month. workers, companies, suppliers, etc are going to need to get paid.

plan accordingly.

red compra, credit card system does seem to be working without a problem. keep in mind, it often depends on the cell phone networks. yesterday there were disruptions in both entel and movistar's systems.

probably best to keep some cash on hand., just in case.
Spencer Global Chile: Legal, relocation, and Investment assistance in Chile.
For more information visit: https://www.spencerglobal.com

From USA and outside Chile dial 1-917-727-5985 (U.S.), in Chile dial 65 2 42 1024 or by cell 747 97974.

User avatar
admin
Site Admin
Posts: 18890
Joined: Sat Aug 26, 2006 11:02 pm
Location: Frutillar, Chile
Contact:

Re: Banking system problems, caused by social unrest

Post by admin » Fri Oct 25, 2019 11:37 am

well, we did have one happy disruption, caused by the chaos.

my wife and I had decided to refinance our mortgage, with record low interest rates last month.

the bank took some time to process all the paperwork, and just before the rioting broke out, they had sent the paperwork to a notary in puerto montt. we simply had not made it in to sign yet.

we get a call from our local executive, asking if we had signed the paperwork yet. we said no. she said don't do it. I think I can get you a lower rate.

the central bank cut another .25 the other day, but the banks in the middle of this mess, have not adjusted their mortgage rates officially yet. she said wait until the first of the month, and they will have to adjust.

O.k. that works out to like a theoretical 7 million pesos less over the life of our mortgage, on top of the big rate cut we had already agreed to.

can't complain about that.
Spencer Global Chile: Legal, relocation, and Investment assistance in Chile.
For more information visit: https://www.spencerglobal.com

From USA and outside Chile dial 1-917-727-5985 (U.S.), in Chile dial 65 2 42 1024 or by cell 747 97974.

User avatar
RuneTheChookcha
Rank: Chile Forum Citizen
Posts: 1913
Joined: Thu Aug 07, 2008 3:02 pm
Location: Valparaíso, Cerro Barón

Re: Banking system problems, caused by social unrest

Post by RuneTheChookcha » Fri Oct 25, 2019 2:00 pm

BancoEstado: el listado completo de las sucursales operativas

https://www.bancoestado.cl/imagenes/_ca ... /index.asp

Post Reply