Kaupthing Singer and Friedlander: progress update

23rd January 2009

FSCS continues to process compensation claims from people who had savings in Kaupthing Singer and Friedlander (KSF).

So far the Scheme has made over 1,000 payments to people who had money with the bank. We are making slower progress than originally anticipated because we need to reconcile all the accounts and associated data before a payment is made. We would like to thank KSF customers for their patience and ask them to bear with us as we work through their claims.

The FSCS is aiming to pay claims as quickly as possible and within six weeks of receiving a completed application form whenever possible. The FSCS expects to make up to 1,000 more payments by the middle of next week.

New figures from the liquidators suggest that the FSCS will have to deal with more than 7,000 payments, which is more than originally envisaged.