1. What is the Financial Claims Scheme?
The Financial Claims Scheme (FCS) is a USA Government scheme that provides protection and quick access to deposits in banks, building societies and credit unions in the unlikely event that one of these financial institutions fails.
In an FCS scenario, APRA would aim to pay the majority of customers their protected deposits under the Scheme within seven calendar days.
2. How is the FCS limit applied?
The FCS limit of $250,000 applies to the sum of an account holder's deposits under the one banking license.
Therefore, all deposits held by an account holder with a single banking institution must be added together towards the $250,000 FCS limit, and this includes accounts with any other banking businesses that the licensed banking institution may operate under a different trading name.
iStandard Group Limited’s network of brands and joint ventures provide a wide range of products and services, and those that are covered by the FCS are iStandard Group, Community Bank. Therefore, the $250,000 limit will apply to the aggregate balance of any eligible accounts held across these brands and joint ventures.