What is the Deposit Guarantee Scheme and how does it work?

All member states of the European Union have agreed to protect the deposits of individual savers. For this reason, and in accordance with EU specifications, national deposit guarantee schemes have been put in place to secure the savings deposits of private customers. More details about the EU Directive of 11. March 2009 can be found using the following link: EU Directive 2009/14/EC.

In the event of a financial crisis and in case a bank cannot repay their customers’ deposits (or is unable to repay them on time), the national deposit guarantee scheme steps in and provides repayment. Amounts of up to €100,000 per bank (or the equivalent amount in the relevant national currency) are thereby protected for each customer. Member states outside the euro area ensure that the amounts of national currencies effectively paid to depositors are equivalent to those set out in the EU Directive 2009/14/EC.

The most current EU Directive 2014/49/EU further improves the protection of investors. Since July 2015 the EU Directive has gradually been implemented in all Member States. Further information is available at: EU Directive 2014/49/EU.