By an industry wide scheme, Savers money is protected to certain level.

Under the financial services compensation scheme(FSCS)  , every desposit in all UK authorized banks and building societies are protected.

If the firm stops trading and is insolvent or if a firm is unable too pay the claims - The FSCS pays complete amount for the first £2,000 and 90% of the next £33,000.

So a person can receive a maximum of £31,700 under this scheme. If the acocunt is a joint acocunt each joint account holder will be handled as holding an equal share. Each will be eligible to claim compensation on their share.

This scheme is funded by a compulsory levy on the Financial Services industry.

If you want to see more information about the scheme , you may find them at their website - www.fscs.org.uk.

Before you make investment in a bank or building society , you may check whether they are authorised in the website Financial Services Authority - www.fsa.gov.uk

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