Halifax Is This A Bad Sign

ANGLICANPAT · 16 September 2007 at 11:37PM

Ive been on the FSA site trying to find out which companies are registered in their own right so that I dont end up only getting one lot of compensation if two companies under the one parent company happened to go down. Anyway, I looked at Halifax, and it says that they are registered at present but have applied to be taken off the register. That sounds ominous , anyone offer any info?

regularsaver1 · 16 September 2007 at 11:41PM

Their licence changes tomorrow:

"To operate in the UK, banks need to hold a banking licence and report to the regulator. Since joining forces, Halifax and Bank of Scotland have held separate banking licences, but will move to one licence on 17 September 2007. This is a legal change to the banking licence; there will be no change to account names, conditions or interest rates.

What if I have savings accounts with both Halifax and Bank of Scotland?
The forthcoming changes mean that, for a small number of customers, protection under the Financial Services Compensation Scheme may be affected.
The HBOS group is one of the most financially secure banking groups in the UK. We believe it is extremely unlikely this protection will ever be required. The Financial Services Compensation Scheme was established under the Financial Services and Markets Act 2000 to provide protection to customers if companies experience financial difficulties. It covers different types of investments in different ways. Where a customer has made deposits in a savings or bank account, payments under the scheme are limited to 100% of the first £2,000 and 90% of the next £33,000 of the customer’s total deposits, subject to a maximum payment to any one depositor of £31,700. Further details of the scheme are available on request.

Both Halifax plc and Bank of Scotland are members of the scheme. Up to 17 September 2007, as they have separate banking licences, a customer who has savings or bank accounts with each will have separate protection under the scheme for each set of deposits. After the change on 17 September 2007, Bank of Scotland will continue as a member of the scheme. This means that if your total deposits with Bank of Scotland, including accounts in any of its divisions (for example Halifax), exceed £35,000, your protection under the scheme will be limited to the maximum payment."

http://www.halifax.co.uk/HelpCentre/blc.asp?tag=HOME5

aleph_0 · 16 September 2007 at 11:41PM

EDIT: post left for posterity, but basically, what (s)he said! ^^^

ANGLICANPAT wrote: »

Ive been on the FSA site trying to find out which companies are registered in their own right so that I dont end up only getting one lot of compensation if two companies under the one parent company happened to go down. Anyway, I looked at Halifax, and it says that they are registered at present but have applied to be taken off the register. That sounds ominous , anyone offer any info?

See this thread, Halifax are owned by the bank of scotland, and they appear to be planning to go under the BoS registration from now on.
http://forums.moneysavingexpert.com/showthread.html?t=552573&highlight=halifax+bank+of+scotland

This isn't caused by the recent problems AFAICT.

regularsaver1 · 16 September 2007 at 11:44PM

Yep this was announced ages ago. In branch every leaflet, poster, document, cheque book, passbook had to be destroyed and replaced with the new licence details

Halifax Is This A Bad Sign

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