What happens if a bank goes under with my money on depsosite?
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Financial Services Compensation Scheme
The Financial Services Compensation Scheme (FSCS) was created and put into operation in December 2001. It was brought in to replace the Building Societies Investor Protection Scheme, Deposit Protection Scheme and several other schemes previously in place. The FSCS was introduced to protect customers of firms that go into liquidation or out of business.
The scheme is activated when an authorised firm goes out of business or the Financial Services Authority (FSA) considers that an authorised firm is unable or unlikely to be able to repay their customers.
Most customers are partially protected under this scheme and are entitled to the following amount of compensation:
* 100% of the first £2,000
* 90% of the next £33,000
The maximum amount of compensation each individual can receive is £31,700.
The compensation limit applies to individuals and covers the total amount of all their deposits held with that firm. Each individual in a joint account is eligible to receive compensation up to the maximum limit in respect of his or her share of the deposit. The FSCS assumes the account is equal and splits it 50:50 unless evidence shows otherwise.
http://www.moneysupermarket.com/savings/GuideToSavings.asp
The Financial Services Compensation Scheme (FSCS) was created and put into operation in December 2001. It was brought in to replace the Building Societies Investor Protection Scheme, Deposit Protection Scheme and several other schemes previously in place. The FSCS was introduced to protect customers of firms that go into liquidation or out of business.
The scheme is activated when an authorised firm goes out of business or the Financial Services Authority (FSA) considers that an authorised firm is unable or unlikely to be able to repay their customers.
Most customers are partially protected under this scheme and are entitled to the following amount of compensation:
* 100% of the first £2,000
* 90% of the next £33,000
The maximum amount of compensation each individual can receive is £31,700.
The compensation limit applies to individuals and covers the total amount of all their deposits held with that firm. Each individual in a joint account is eligible to receive compensation up to the maximum limit in respect of his or her share of the deposit. The FSCS assumes the account is equal and splits it 50:50 unless evidence shows otherwise.
http://www.moneysupermarket.com/savings/GuideToSavings.asp
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