FSA raises bank compensation limit to £50,000

The new limits are per customer claim whilst customers with joint accounts will be eligible to claim up to £100,000. The regulator is also implementing changes concerning the recovery of deposits of over £50,000 from failed banks. Furthermore, the FSA is still considering whether the compensation limit should be higher still, whilst looking at the speed with which the FSCS can pay compensation and the rules surrounding whether deposits are covered on a legal entity, a brand or an account basis. Hector Sants, CEO at the FSA, commented: "There has been extensive debate about the compens...