FSCS Update For Icesave Fixed Account Holders

strawberrylane

I have spoken again to the FSCS today. They have agreed to publish an update on their Comsumer website later today (Friday 27th March 2009) which will clarify the compensation process going forwards for Icesave fixed term accounts that mature later in 2009 or 2010 or 2011 where the claimant has elected to wait for maturity to receive compensation.

The update will state that letters will be sent out in May 2009 to all such claimants. The letters will confirm account number, eligibility for compensation (i.e. confirmation that the claim has been accepted), amount of compensation due at maturity (including interest) and date of maturity. It is expected there will be one "claim accepted" letter per fixed term account (so, for instance, a claimant would get 2 such letters if they held 2 fixed accounts).

The update is not published yet at the time of writing this post (10.20am), but when published later today (probably right at the end of the day) it will appear here:

http://www.fscs.org.uk/

Hopefully this will resolve the confusion and anxiety that has been caused by either lack of information or conflicting information on this issue. Fingers crossed!

oldagetraveller

My fixed term matures on the 5th May so probably no letter for me. However, I did receive a confirmation from the FSCS soon after submitting my completed claim form.
But as you quite rightly state, such a letter will hopefully alleviate any anxieties for people who have heard nothing!

strawberrylane

Well, looks like FSCS has missed another deadline as the promised update has not appeared today. Looks like it's going to be next week now (I sincerely hope!).

strawberrylane

The FSCS update has now appeared at http://www.fscs.org.uk/consumer/latest_news/2009/mar/Update_for_holders_of_fixed_term_deposit_accounts/........

Update for holders of fixed term deposit accounts in Icesave and London Scottish Bank
The FSCS is working hard to process all applications for compensation relating to fixed term deposit accounts with Icesave and London Scottish Bank.

For accounts that have already matured up to 26 March we have paid £1.7bn in respect of just over 58,900 fixed term deposit accounts, and we are continuing to work through these claims as they fall due.

We plan to assess all outstanding applications for compensation in respect of fixed term deposits with the two banks by early May, including claims where the fixed term deposit does not mature for some years. In May, we will write to all claimants whose accounts will mature at a future date, confirming whether or not they are eligible to receive compensation, the amount due to them, and the maturity date of their account(s).

For maturities due after 30 June, we will then contact claimants again one month before the maturity date of their account asking them to confirm that their circumstances (such as contact details), have not changed. Our aim is then to make compensation payments as soon as possible after maturity.

We ask any depositors who have not yet returned their application form in respect of their fixed term deposit account with either of these banks, to do so as soon as possible rather than wait until closer to the maturity date.

dougz_2

Their statement does not clarify anything for people who have a maturity date which is falls after 26 March and also before early May.

noh

dougz wrote: »

Their statement does not clarify anything for people who have a maturity date which is falls after 26 March and also before early May.

One of my fixed rate accounts matured on 31st March.
Today (7th April) I received the cheque which was dated 3rd April. So at least in my case they appear to be working efficiently.

Nigel