How Safe Is Your Money?

Unsound as a pound

The recent banking crisis has brought peoples attention to the FSCS – the Financial Services Compensation Scheme, and the fact that this covers you for up to £50,000 in each institution registered with the Financial Services Authority. Of course, there is plenty of crossover between banks which can make things very confusing for those working out whether their money is safe.

Luckily, there is an easy to use online tool that will tell you which banks come under the same registration.

The How Safe Is Your Money quickcheck allows you to select a bank and will tell you what other banks are covered in under the same registration, whilst the calculator allows you to enter your savings with each bank and will work out how much of your money is covered by the scheme. For example, if you had £20,000 with Cahoot, but also £40,000 with Abbey, you’d find that you had only £50,000 covered, as they both have the same registration with the FSA.

Whilst it’s probably worth avoiding the general hysteria about which banks might be about to fail (I think that’s now pretty unlikely following the Government’s cash injection to banks), it’s a useful tool and helps to show just how confused our banking brands are.

And if you’re wealthy enough to have more than £50,000 in one bank then it might help to give you some peace of mind

Creative Commons License photo credit: Andy Beez



2 thoughts on “How Safe Is Your Money?

  1. The credit union in which I am the chief internal auditor has large deposits with Standard Life.
    I have seen nothing to suggest that the company is rocky. However, I would like to know what your opinion is regarding Standard Life as a safe sanctuary for our funds not loaned to members,please.
    Many thanks.

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