The Bank of Cyprus has announced that its British business, Bank of Cyprus UK Ltd, is now running its banking business here in the UK.
Investors and savers will see no change to their accounts, nor to the way they are run. Direct debits and other mandates should all continue as before, with no need for customers to fill in new forms or provide new signatures.
The only change is to investor protection. Customers were previously covered by the Cypriot scheme which protected investments of up to €100,000 per person per bank.
As of this morning (25th June), Bank of Cyprus UK customers are now protected by our very own Financial Services Compensation Scheme, the FSCS. It offers protection up to £85,000 per person, per banking licence. At today’s exchange rate, that’s a tad over the €105,000 mark which means savers are now getting a slightly higher level of protection.
Added to that they also get the speedy FSCS pay-out promise if anything goes wrong. As there are concerns circulating about whether the Cypriot Deposit Protection scheme could actually afford to repay savers in the event of a major collapse, we think this significant move is great news for concerned savers.
If you are so inclined, you can read the Bank of Cyprus announcement by clicking here
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