Moneybox 95 day notice account - FSCS says money not protected SCARED!

Vonnie406

Hi
I have a lot of money invested in Moneybox 95 day notice account.  I am in the process of reviewing all my investments as some have finished their fixed terms.  I saw "powered by Shawbrook" on their app.  I also have money with Shawbrook.  I am not sure if they are linked.  If so I am over-exposed as total amount is over £85k threshhold.

This lead me to check this on FRCS website.  They say Moneybox are NOT protected.  I am quite scared about my money being safe with them now.  

Is it?  Can anyone reassure me?

ColdIron

I'm not sure the Fellowship of the Royal College of Surgeons is authoritative on financial matters

xylophone

https://www.moneyboxapp.com/fscs-protection/

Have you read the above?

Aretnap

https://www.moneyboxapp.com/fscs-protection/

Moneybox doesn't have FSCS protection itself because it doesn't hold your money. It sends your money to one of several different banks, depending on the account, and those banks do have FSCS protection. It says that the 95 day notice account is held with Investec. Sounds like you need to check that you don't have any other money with Investec, or that if you do the total is below £85K.

EthicsGradient

Moneybox say the 95 day notice account is deposited with Investec, and this page seems to say it is therefore covered by Investec's FSCS registration: https://www.moneyboxapp.com/fscs-protection/

Vonnie406

ColdIron said:

I'm not sure the Fellowship of the Royal College of Surgeons is authoritative on financial matters

....yes i got the wrong initials, you'll have to forgive me, i know it's funny but i am a bit worried about my £50k investment, you could have been slightly more helpful....

Vonnie406

i have read what Moneybox say, however they could say anything they like couldn't they?  FSCS said they are not covered, even though I explained what Moneybox were saying. So....someone is wrong and how is the layman/woman supposed to be sure....

Daliah

Vonnie406 said:

i have read what Moneybox say, however they could say anything they like couldn't they?  FSCS said they are not covered, even though I explained what Moneybox were saying. So....someone is wrong and how is the layman/woman supposed to be sure....

I had a similar issue, with a much smaller sum at Claro. FSCS folks were useless, as they just read out what their website states. I withdrew my money from Claro as I'd rather err on the side of caution. 

EthicsGradient

Vonnie406 said:

i have read what Moneybox say, however they could say anything they like couldn't they?  FSCS said they are not covered, even though I explained what Moneybox were saying. So....someone is wrong and how is the layman/woman supposed to be sure....

You haven't yet established that anyone is wrong; you've just said you don't trust Moneybox. So ask Investec about it; if Moneybox is lying, they'll have an interest in stopping them. Since Moneybox is quite well publicised, I suspect Investec (and the other firms on that page) are well aware they are being claimed as the firms responsible for the FSCS protection, but if you want peace of mind, ask them.

masonic

Vonnie406 said:

i have read what Moneybox say, however they could say anything they like couldn't they?  FSCS said they are not covered, even though I explained what Moneybox were saying. So....someone is wrong and how is the layman/woman supposed to be sure....

Moneybox is authorised and regulated by the FCA under two reference numbers. One is in relation to pensions and investments, where customers would have FSCS protection, but which does not apply here. The second registration is for the payment services business, which is the part that allows them to access third party savings providers. Here there is no FSCS protection for money while it is not with a third party savings provider, but Moneybox should be ringfencing and safeguarding client money. Should they lose your money you would be able to complain to the Financial Ombudsman Service, who could give you a legally binding compensation award. However, if Moneybox went bust, this could not be enforced.

The bottom line is you would need to trust Moneybox to do what they say they are going to do with your money. There are various scenarios where bad timing or improper actions would leave you exposed. These risks are small, but need to be weighed against what you could get without these risks. I've not had any trouble finding competitive savings accounts with end to end FSCS cover, so have not had any need to choose an account where my money lacks FSCS protection at any time.

The best 95 day notice account (Charter Savings Bank) pays 1.02% compared with MoneyBox's 0.74%, so there are reasons other than the subject of your post to ditch and switch.