Building society savings

[Paul22118]

What is the amount one can put in a BS that will be guarenteed by HMGovt should they go ti*s up.
Also is it likely to be increased or should I spread around?

[pug100]

You are covered up to �35K. If you have more then spread it across different banks or societies. Beware of putting it into say Halifax and Bank Of Scotland as they are both owned by the same company, so only one lot of �35K is protected. More info here

http://www.moneysavingexpert.com/savings/safe- savings#bust

[Paul22118]

Thanks for that link Pug.

I note when reading the link that my wife and I with a joint account get twice the value of protection. So if there were for e.g. a fifty grand deposit then the protection would be two times one person thus actually increasing the cover by a factor of 2.
This probably will make me stickj with my bank.

[dasherman]

If you have savings with your mortgage provider you could come off badly.

The compenation is paid on a net basis. That means any savings or deposits you have are offset against any loans and you only get compensation based on the balance.

So if you owe the bank more than you have in savings, then you are not entitled to any compensation.

[Paul22118]

This really is proving a minefield. Thanks Dasherman. Luckily, having couhed oup over thirty years of mortgage payments, I am mortgage free. But a point well worth noting for others reading this link.