Bellmore Group Management Services, Tokyo Japan How to Secure Your Savings (Part 2)

Bellmore Group Management Services, Tokyo Japan on How to Secure
Your Savings (Part 2)
What does 'financial institution' exactly refer to?
There is no cut-and-dry answer. For many years, banks have been absorbed by others or merged with other banks, making
the definition hard to delineate. It all depends on the technical nature of the company's personality as it is registered at the
FCA.
Some difficulties, therefore, arise – for instance:
If you save money in the Bank of Scotland, Halifax and BM Savings, which belong to one group, the covered amount is also
considered as one. Hence, you get only £85,000.
If you save money in the Royal Bank of Scotland, Ulster and NatWest, which all belong to the giant RBS conglomerate; you
get £85,000 protection for every one of three banks where you have put money.
Which banks are linked?
You may visit websites to help you find out if your bank shares its savings protection.
Or you may check the FCA registration number on your bank's website. If the institution is not among those listed, it does
not necessarily mean it has no protected. Their last complete update of list was on April 2017.
What about bank takeovers?
In the even that your bank has been taken over, the actual protection on your money can depend on the date you opened
your savings account. A merger-by-merger guide is given below:
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Santander (Alliance & Leicester and Bradford & Bingley)
Lloyds Banking Group, Halifax and TSB
Barclays and ING Direct
Virgin Money and Northern Rock
AA Savings and Bank of Ireland UK
Marfin Laiki Bank and Bank of Cyprus UK
What happens when my building society has merged with another?
As a result of a financial crisis in the past, several building society takeovers flooded the news. At the start of such an
occurrence, the Government acted to cover savings in two different building societies that merged; however, that applied
only until December 2010.
Hence, if you have savings in several of the institutions listed under the groups listed below, you only stand to receive
£85,000 cover within that group:
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Co-operative Bank and Britannia
Yorkshire, Chelsea, Barnsley, Norwich & Peterborough building societies, plus Egg
Nottingham and Shepshed building societies, trading as Nottingham BS
Nationwide previously shared its protection with Derbyshire, Cheshire, and Dunfermline Building Societies, but all
products under the three minor building societies are now branded as Nationwide. This also goes for Coventry BS and
Stroud & Swindon BS – all previous accounts with S&S are now branded as Coventry.
What of foreign-bank savings?
Numerous banks originating from overseas operate in Britain, such as Santander, Yorkshire Bank and ICICI. Unless they
are not technically “offshore” accounts, the parent bank does not matter.
If the bank is UK-regulated, you will receive the same £85,000 coverage for every individual. However, there is a grayish
area: