Important Information about compensation arrangements
Your eligible deposits with Aldermore are protected up to a total of £75,000 by the Financial Services Compensation Scheme, the UK’s deposit guarantee scheme. Any deposits you hold above the limit are unlikely to be covered.
Please click here for further information or visit www.fscs.org.uk
New deposit protection limit coming in on 1 January 2016
The FSCS limit was changed on 3 July 2015 to £75,000, however the UK government has agreed to defer the change until 1 January 2016 for those who were already covered under the scheme (individuals and most small businesses).
Your eligible deposits will therefore remain protected up to a total of £85,000 until 31 December 2015, reducing to £75,000 from 1 January 2016. Any deposits you hold above the limit are unlikely to be covered.
Q&As about the limit change
If I have over £75,000 in my Personal or Business Savings Fixed Rate Account, can I withdraw funds?
We will be contacting all customers with balances above £75,000 before the end of August to confirm the options available to them.
Cover will remain at £85,000 until 31 December 2015, and we will give our customers time to take action before the lower limit comes into effect.
What limit is my savings account opened prior to 3 July 2015 covered for?
For eligible individuals and small businesses, whether the account was opened prior to or after 3 July this year, the limit of £85,000 will apply until 31 December 2015, dropping to £75,000 from 1 January 2016.
What happens if the interest is being paid to my account and this will take it over the £75,000 limit?
If interest is being paid to your account, this becomes part of the account balance. For eligible individuals and small businesses, your cover will remain at £85,000 until 31 December 2015, but any amount above the new limit of £75,000 will not be covered from 1 January 2016.
Why has the limit been changed?
On 3 July 2015, the PRA amended the deposit protection limit from £85,000 to £75,000 as a result of requirements in the European Deposit Guarantee Schemes Directive.
Does the new limit apply to all UK banks?
Yes, although for any banks that operate under multiple trading names, the limit will apply to the deposits made under all of these in total and not individually.