LOCAL INFORMATION

13.10.12.12

Depositors Compensation Scheme

Extent-Jersey

Updated 11 November 2013

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The Banking Business [Depositors Compensation] [Jersey] Regulations 2009 came into force on the 6th November 2009.

The Regulations establish a Deposit Compensation Scheme [DCS] which will provide depositors with compensation in the event that a Jersey registered bank should fail. The DCS would provide full protection for private individuals up to a maximum of £50,000 per person, per Jersey banking group, whether or not the depositor is resident in Jersey. It will deliver protection to individuals holding joint accounts, the £50,000 limit will apply per person, so a £100,000 deposit held by two people would be completely covered.

Up to the first £5000 of a valid claim would be paid within 7 working days, with the balance being paid within 3 months.

The DCS will be operated by a Board that will be independent from the States of Jersey and the Jersey Financial Services Commission.

More information on the scheme can be found here