Are charities protected in the event of a banks collapse?

Simran

Hi

Does anyone know whether a registered charity which has a deposit account with a building society/bank in the UK would be covered by the Financial Services Compensation Scheme where the first £35,000 of deposits are protected by the government? All the literature seems to talk about individual accounts?

Many thanks

fengirl_2

Charitable status does not relate to the legal basis of an organisation. You would need to look at the legal status of the organisation, eg association, trust or Company Limited by Guarantee. Presuming the organisation was a member of the deposit taker, they would be covered by the scheme.

ahai1

You should ask the bank or building society.