Cash Guarentee questions

maxivestor

Two questions which I would appreciate an answer to.

1/ IF I put £50k in a FSA regulated bank, and the bank goes bust in the future, would I only be covered for the initial £50k and lose the interest?

2/Take a scenario where I invest in a bond at a bank, (say £20k at 7% so I'm nowhere near the limit), due to mature in a year but the bank went bust in the interim (say 6 months after setup). In this case would I be eligible for the refund of my £20000 only or would I also be able able to get 6 months worth of interest at 7% PA on top of the £20k deposit?

isofa

These questions have cropped up many times, have you searched?

1/ No only up to the 50K, so nothing else is covered.

2/ interest is usually calculated daily, but it depends on the T+C of the bond, if it's only paid at maturity and cannot be withdrawn earlier then, no.