[Anonymous]

I now keep little in bank account. just enough to pay utility and Ayuntamieento. I keep only X serial number Bundesbank issued Euro notes. But the following are probably OK : Netherlands P Austria N Finland L and France U are ok for now. They will tell you that the National Central Banks issue is as agents for the ECB but in fact in an emergency the reality could be very different and other than carrying sterling and $ there is a chance of getting decent exchange in a crisis only for the German issued notes.

[Anonymous]

Personally, I don’t believe this theory about Euros with German serial numbers being worth more if it comes down to it. I think all Euros in circulation in Spain would be converted to Pesetas, end of story. Any Euros you could get out would be worth Euros, regardless of serial numbers.

But I don’t think it will come to that. The cost is too high…..famous last words ❗

[DBMarcos99]

@mark wrote:

Personally, I don’t believe this theory about Euros with German serial numbers being worth more if it comes down to it. I think all Euros in circulation in Spain would be converted to Pesetas, end of story. Any Euros you could get out would be worth Euros, regardless of serial numbers.

But I don’t think it will come to that. The cost is too high…..famous last words ❗

I agree that the Euros already issued will have to be honoured. After all there is no way a German bank could refuse a German car dealer who’d just sold a Merc to a Greek or Spaniard, because some of his notes had the wrong serial number.

But, I think we’re at a crossroads with the Euro – the spanish govt may well bite the bullet and pull out, sooner than you think

http://www.canada.com/technology/Euro+stake+Spain+debt+crises+Spanish+deputy/6694818/story.html

“If the EU doesn’t reinforce the euro zone with some sort of mechanism, it’s not about who leaves (the euro), it’s about the EU itself. What is the EU without the euro?” Saenz, 40, said at the prime minister’s complex, Moncloa, on the outskirts of Madrid on Monday.

[Chopera]

There have been rumours going round that euros with Greek serial numbers are no longer being printed. Apparently it is now very hard to find a euro notes with the Greek “y” serial number. It seems that the Greeks have stopped printing euros, and the Germans have printed extra notes to take up the slack.

[Anonymous]

I noticed when I was in Canaries in winter/ early spring that the ATMs were giving me grubby Spanish Irish & Greek notes which I spent first whereas the majority of people around were German Scandinavian and English whose currency notes I reckon the banks were keeping.

[Anonymous]

@Chopera wrote:

There have been rumours going round that euros with Greek serial numbers are no longer being printed. Apparently it is now very hard to find a euro notes with the Greek “y” serial number. It seems that the Greeks have stopped printing euros, and the Germans have printed extra notes to take up the slack.

Funny that. I heard a rumour today that Greece has started unauthorised printing of Euro notes, though I’m not sure how it could do that (all the money printing companies are in Germany I think)

[Anonymous]

Greek euro notes will be honoured but they will probably not print many more for some time. It’s not possible to do what you imply.

[DBMarcos99]

@Ardun wrote:

Greek euro notes will be honoured …

I’m fairly certain you’re right. Otherwise no-one would accept other Euros either – who’d accept Italian serial (for example) Euros when selling a car, when the speculators shifted their attention? It would stop the Euro functioning in the other countries.

[Anonymous]

To be clearer although I admit also trying to get absolutely clear myself! the National Banks in the Euro issue notes AS AGENTS FOR THE ECB, So the ECB do have to pay VALUE for Greek Spanish or other notes. But if a country say Spain were to withdraw from Euro useage and introduce a new Peseta what VALUE would they pay ? Would all the Euro currency notes in Spain of whatever serial number be embargoed. ie anyone leaving has to surrender them into pesetas or another currency except for those brought in that receipts for exchange in another country can be produced ? It would be very difficult to enforce. It would be chaos. In fact it was never conceived that a member would leave the Euro and there is no previous contingency for it. This only goes to suggest that the possibility for Euro exit in the short term for any one member is slim.So the possibility of any one members notes being declined Euro Value in say $ or £ I therefore agree with others commenting here could not be upheld. De La Rue in UK is the company that produces many currency issues and they have refused to comment they have been asked to design New Drachma notes.Possibly a German or other USA company might produce them alternatively So the bigger issue is if the whole currency would fail -if no decisive action as is being asked by Mario Draghi and others but declined by Germany it is said -and failing means in effect a serious run on the exchange rate. As this would result in inflation that the Germans with their experience of the 1920’s- they would either have to capitulate in some important way or withdraw themselves. They have new DMarks ready to issue . Would they honour Euro notes other than their own? Or would they expect the ECB to pay them? If the Germans withdrew would the Euro collapse -the ECB would it become insolvent ? What VALUE would euro notes have? Internally in Spain what could the Spanish do? Overstamp Spanish euro notes as New Peseta -or temporarily adopt the DMark and use German serial notes. All I would suggest is that one would not be in the best position having too much in a Spanish bank or in non German Euro notes. But it also suggests one should not be keeping unnecessary amounts of euro at all if one SUSPECTS it. The otherside of the coin is that neither of these two possibilities will happen -because of the horrendous risks and possible consequences and that soon the Euro will rebound -if only to begin some depreciation in an orderly way which seems the best option to improve competitiveness in southern Europe until the structural problems can begin to be tackled.The foreign exchange markets tend to do the necessary in default .

[Anonymous]

“I agree that the Euros already issued will have to be honoured. After all there is no way a German bank could refuse a German car dealer who’d just sold a Merc to a Greek or Spaniard, because some of his notes had the wrong serial number “

I appreciate it was an example only. However the German car dealer would be done for money laundering for accepting cash. The question will not arise.

These days if you pay for anything cash apart from your weekly shopping. You are viewed as luadering money or sending money to your friends in the Tora Bora Mountains.

[Author]

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