Is My Money Safe?

Hi Scott,

With another bank failing in the US, it’s starting to feel like 2008/2009 once again. How safe are our banks, and our money in the banks?

Jenny
 
Hi Jenny,
 
Don’t worry, the money in our banks is safe.
 
The government’s Financial Claims Scheme protects depositors up to $250,000 per account holder should your bank, building society or credit union go belly up. (And if you have a joint account, each account holder is entitled to the guarantee.)
 
But it only applies to one account at a particular institution. So, if you’ve got more than $250,000 you should think about spreading it around different institutions, so you’re covered by the scheme.

Scott