Update for holders of fixed term deposit accounts in Icesave and London Scottish Bank
30th March 2009
The FSCS is working hard to process all applications for compensation relating to fixed term deposit accounts with Icesave and London Scottish Bank.
For accounts that have already matured up to 26 March we have paid £1.7bn in respect of just over 58,900 fixed term deposit accounts, and we are continuing to work through these claims as they fall due.
We plan to assess all outstanding applications for compensation in respect of fixed term deposits with the two banks by early May, including claims where the fixed term deposit does not mature for some years. In May, we will write to all claimants whose accounts will mature at a future date, confirming whether or not they are eligible to receive compensation, the amount due to them, and the maturity date of their account(s).
For maturities due after 30 June, we will then contact claimants again one month before the maturity date of their account asking them to confirm that their circumstances (such as contact details), have not changed. Our aim is then to make compensation payments as soon as possible after maturity.
We ask any depositors who have not yet returned their application form in respect of their fixed term deposit account with either of these banks, to do so as soon as possible rather than wait until closer to the maturity date.