The FSA’s new rules about how providers display deposit compensation arrangements will help restore savers’ confidence, Savingschampion.co.uk has claimed.
Former IFA Anna Bowes, director at Savingschampion.co.uk, said: “We welcome this change and hope it goes some way to restoring people’s confidence to save.
“It’s about time this simple rule was introduced as we find it staggering providers have not had to display this vital information prominently. It’s disappointing they have to be coerced into making this change.”
However, Ms Bowes warned the FSA needs to take this one step further. She said: “Having recognised the confusion for savers with funds in multiple brands under one licence, a case surely needs to be addressed that the £85,000 limit should apply to each brand, not just each licence.
“Although it appears that the protection for savers has increased in recent years, for some it may actually have reduced and some of their cash could now be at risk.”
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