The Financial Services Compensation Scheme (FSCS) will this week begin making extra payments to Lifemark investors whose claims exceeded the maximum compensation limit.
Investors who had more than £30,000 invested at the time of the Lifemark failure will get additional payments of up to 6.5% of their claim.
The move follows the FSCS receiving distributions of assets from Lifemark's trustee.
Two distributions of 7.5p and 1p in the pound have been made by Lifemark's trustee, the FSCS said.
Further distributions are anticipated during the course of 2014 which - based on the current information the FSCS has - are expected to bring the total returns to between 12% and 15% of the nominal amount of the capital invested.
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