FSCS to compensate 400 savers after credit union collapse

The Financial Services Compensation Scheme (FSCS) is to pay out £100,000 to around 400 savers after a Kent-based credit union collapsed.

Wantsum Credit Union stopped trading on Monday, prompting the FSCS to promise it will compensate most of the 400 savers within seven days. The FSCS protects up to £85,000 of savings or £170,000 for joint accounts. Since 2001 it has paid out more than £26bn in to 4.5m people. The industry-funded service last month announced it plans to raise £313m from the financial services industry in the coming year to cover the costs of compensation, up from £311m in 2013/14. The scheme plans to hit investment advisers with a £105m levy, an increase of 34% on the last levy, while those advising ...