Save as you earn after company goes into administration

usenglish

The company I work for recently went into administration, I had savings in a save as you earn scheme and am trying to find out if my money is safe or not. So basically does anyone have any experience with what happens to a save as you earn scheme if the company goes bust?

xylophone

http://www.moneywise.co.uk/investing/stocks-and-shares/grab-slice-your-bosss-profits
"Julie Richardson, head of ifs Proshare, says: "This makes this scheme effectively risk-free – even if the company goes bust, your savings are held separately and are protected under the Financial Services Compensation Scheme."

usenglish

Thank-you good to know that worst case scenario it will be possible to claim under the FSCS, what I'm not sure on is if the scheme is considered separate from the company as a whole i.e. creditors can not make a claim on it, or if the scheme is considered just another asset and members will become just another unsecured creditor. Hope that makes sense all help is greatfully received.

opinions4u

The funds are almost certainly held in an account in your name by a bank or building society.

thenudeone

Any money deducted from your pay but not yet handed over to teh bank or BS could be at risk; but it may be treated as a preferential creditor. i.e. quite high up in the order of people to be paid out of any money the administrators recover.

You need to speak to the administrator to find out.