SAGA / Natwest - FSCS guarantee

D1zzy

Thought Saga accounts came under the HBOS/BM Midshires licence - however have just received this from Natwest

Deposits with National Westminster Bank Plc and deposits in the Saga 4 Year Fixed Rate Bond are covered by a single FSA authorisation. If you hold accounts with National Westminster Bank Plc and have a Saga 4 Year Fixed Rate Bond, the greater of £50,000 or €50,000 limit relates to the combined amount in these accounts.

... note to self for accounts offered by institutions other than banks and BS - Check the guarantee for the individual account & don't make assumptions!!

alanq

And the interest must be paid into a linked NatWest account!
http://www.bondaccounts.co.uk/2009/11/01/saga-4-ear-fixed-rate-bond/

Although the Saga 4-year bond is not currently on offer. I think that MSE should add a caveat to its Are Your Savings Safe information in case there are other examples like this.

I have seen other instances myself in the past but those cases concerned Guaranteed Equity Bonds and the like not simple fixed term deposits.

home_alone

As it says on the tin its only the 4 year fixed which is with Nat west I have a 5 year fixed and its with Birm/mid.

G_M

If you look at the FSA website, Saga is listed as being under LLoyds for compensation purposes, NOT NatWest!

opinions4u

G_M wrote: »

If you look at the FSA website, Saga is listed as being under LLoyds for compensation purposes, NOT NatWest!

Around this time last year they had a range of products on their site that were Birmingham Midshires offerings under the Bank of Scotland licence.

But they also had a single offering from Nat West as well. I'm not aware that this has been repeated since, but there was certainly this exception to the rule.

In other words, Saga don't seem to have an exclusivity arrangement with BM / Bank of Scotland / HBOS / LBG and can sell other providers products if they wish.

Rollinghome

G_M wrote: »

If you look at the FSA website, Saga is listed as being under LLoyds for compensation purposes, NOT NatWest!

That listing seems a little misleading. It describes "Saga" as a brand and while that is correct Saga Personal Finance is a wholly owned subsidiary of Saga Group Limited and not just a brand of Lloyds Banking Group plc. Same applies to AA Financial Services Limited. Both are now owned by Acromas Holdings.

As O4U says for one of their products Natwest/RBS was the deposit-taker.