Savings Protection Scheme - Update
It is a worrying time for people with money on depost.
Many financial institutions have already folded with thousands losing their jobs and livelihoods, but how safe is your money?
The Governement has recently announced that it is extending the guarantee on money held on deposit with UK regulated financial institutions from £35,000 to £50,000. For a couple holding a joint account, the protection is £100,000.
Although this will protect many people, it will not cover everyone. The important thing to do is to spread your risk between a number of financial institutions so that the guarantee scheme applies across each company giving you multiple guarantees i.e. if you had 10 joint accounts across 10 separate financial institutions, you would be protected up to £1million.
However, don’t get caught out by depositing money with two seemingly different companies that are actually a part of the same parent company and licenced in the UK under that parent because you will only receive one guarantee!
For more information on which companies are part of the same parent check out the This is Money website by clicking this link http://www.thisismon.....le_id=440726&in_page_id=7