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					                          THE FSCS’s CONSUMER AWARENESS CAMPAIGN

                                         TOOLKIT FOR FIRMS – PART 1




INTRODUCTION ................................................................................................................... 2
BRIEFING FOR CUSTOMER FACING STAFF ..................................................................... 3
QUESTIONS FOR FIRMS ..................................................................................................... 5
QUESTIONS FOR CONSUMERS TO ASK FIRMS ..............................................................17
CONSUMER FRIENDLY DESCRIPTION OF THE FSCS FOR FIRMS ................................19
TRAINING MODULE FOR FIRMS........................................................................................20
CHECKLIST FOR FIRMS .....................................................................................................21




September 2010                                                                                        Page 1 of 21
                                       INTRODUCTION



This toolkit is for firms to support the FSCS‟s consumer awareness programme. The toolkit
will be available for firms to download from our website in two parts.


This is the first part of the toolkit and contains documents for firms to use to ensure their front
line staff are ready to answer questions from customers about the FSCS. It also includes
materials that firms will be able to use in their marketing materials. This will help to reinforce
awareness of the FSCS with consumers and will reassure them that firms are covered by the
FSCS.


The second part of the toolkit will contain the schedule of the TV adverts to help firms plan
for an increase in consumer enquiries about the FSCS. This will be available on our website
on a weekly basis from early January.




September 2010                                                                Page 2 of 21
                        BRIEFING FOR CUSTOMER-FACING STAFF


Summary

The Financial Services Compensation Scheme (FSCS) is the compensation fund of last
resort for customers of authorised financial services firms in the UK. It is there to protect
consumers: if a firm becomes insolvent or ceases trading, the scheme may be able to
provide compensation. The FSCS covers deposits, insurance, investments and home
finance brokers (mortgage advisers and arrangers).


The FSCS has strong evidence that customers are very supportive of the need for a
compensation scheme, and positive about the service they receive from the FSCS. However
there is a problem: there is not widespread awareness of who they should turn to if there is a
need.


From January 2011, the FSCS will run a programme to raise awareness of the Scheme and
the protection which customers receive should the institution they are saving with / are
investing with / have a financial product with / have received advice from (delete as
appropriate) fail. The campaign will include advertising on TV, in the press and online and
will encourage customers to visit the FSCS website, or to contact their provider, so we
expect some customers to ask firms questions about the FSCS. In addition, the launch of this
consumer awareness drive coincides with an increase in the compensation limit for deposits,
which could also prompt questions from consumers. The programme is based on the
understanding that if people are aware of the FSCS and what level of cover they have, it
helps to restore their confidence in financial products and providers and therefore contributes
to confidence in the market overall; information drives out fear.


The campaign will begin an effort to make the FSCS as recognisable in financial services as
ATOL is in the travel industry.


High levels of awareness of the FSCS should help to increase the public confidence in
financial services and the financial system as a whole.




September 2010                                                               Page 3 of 21
The FSCS‟s efforts to improve consumer awareness have the backing of the regulatory
authorities, industry and consumer groups who are all keen to ensure that every effort is
made to improve financial stability through increased consumer confidence in financial
services.




What this means for you


We expect that the advertising will lead to an increased number of customer enquires about
the Scheme and the cover that the FSCS offers your customers.


This is likely to result in the following customer journey:


   1. Customers will see the FSCS ads on TV, in press or online.
   2. As a first step they may visit the FSCS website where we‟ll give them a few easy
       steps to take to check their cover, e.g.
            a.      Check the institution is regulated by the FSA.
            b.      Ask the financial services provider a few questions (which are included in
                    this toolkit) to check the level and type of cover available for the product
                    they have (or product they are thinking about buying).
   3. Before or after contact with the FSCS they will go to their provider with a few simple
       questions.




Please refer to the Q&A document and „Questions for consumers to ask Firms‟ for questions
that consumers may ask you, and the answers to those questions.




September 2010                                                                Page 4 of 21
                                     QUESTIONS FOR FIRMS

            Here are some questions and answers customers might ask you


1. General Q & As

1.1. What is the Financial Services Compensation Scheme (FSCS)?

     The FSCS is the independent body, set up by statute, which may be able to provide
     you with compensation if we go bust. The FSCS is set up by government, and funded
     by financial services firms. The FSCS covers a range of products for both individuals
     and small businesses*. Limits apply depending on the product you have bought. The
     FSCS does not charge individual consumers for using its service. The FSCS cannot
     help you if the firm you have done business with is still trading.

     *Trustees of large firm pension schemes and large companies for compulsory insurance may be covered
     by the FSCS. Please contact the FSCS for further information on the eligibility criteria.

1.2. Where does the FSCS fit in?

     The FSCS deals with claims against authorised firms (those regulated by the Financial
     Services Authority (FSA)) that are unable, or likely to be unable, to pay claims against
     them. This will generally be because a firm has stopped trading and has insufficient
     assets to meet claims, or is in insolvency. The FSCS describes this as being “in
     default”.

     If a consumer has a complaint about an authorised firm that is still trading they should
     complain to the firm concerned. But, if after doing that they remain dissatisfied, the
     Financial Ombudsman Service may be able to consider the complaint. You can get
     further details at www.financial-ombudsman.org.uk

1.3. How can I find out if you are a 'member' of the FSCS?

     The FSCS does not have „members‟, however, it covers business conducted by firms
     authorised by the FSA. We are regulated by the FSA and our FSA registration number
     is [Firm to add].

     If a consumer has a complaint about an authorised firm that is still trading they should
     complain to the firm concerned. But, if after doing that they remain dissatisfied, you can
     take your complaint to the Financial Ombudsman Service. In the unlikely event that
     [name of firm] stopped trading, the FSCS may be able to help.

1.4. What is my product classified as?

     [Firm to confirm classification of product. If the product is covered by the FSCS it will
     fall into one of the following categories: Deposits (usually held with banks, building
     societies or credit unions), insurance business, home finance (including mortgage
     advice), investment business (including endowment mortgages).]


September 2010                                                                     Page 5 of 21
1.5. How much of my money is covered?

     The FSCS has limits; these are applied per person per authorised firm. Your product
     comes under the …..[firm to add]…..classification. The compensation limit for your
     product is …[firm to add]…. [The FSCS’s limits are below. Firm to confirm consumers
     protection based on product classification.]

       Deposits: the compensation limit increased to 100% of the first £85,000 per person
        per authorised firm on 31 December 2010.
       Investments: 100% of the first £50,000 per person per firm (for claims against firms
        declared in default from 1 January 2010).
       Home Finance (e.g. mortgage advice and arranging): £50,000 per person per
        firm (for claims against firms declared in default from 1 January 2010).
       Insurance Business: unlimited. 90% of the agreed claim with no upper limit.
        Compulsory insurance is protected in full.
       General insurance advice and arranging: unlimited (for business conducted on
        or after 14 January 2005). 90% of the agreed claim with no upper limit. Compulsory
        insurance is protected in full.

1.6. Will any of my other products affect this coverage?

     [The FSCS can only pay compensation for financial loss. If firms share an authorisation
     they should inform consumers as compensation limits are per person per firm, and per
     claim category.]

1.7. What if I have a complaint?

     You should first complain directly to us and we will consider your complaint. But, if after
     doing that you remain dissatisfied, you may contact the Financial Ombudsman Service,
     who may be able to consider your complaint.

     Even if we are no longer regulated by the FSA usually we will continue to be covered
     by the Financial Ombudsman service and must deal with complaints as if we were still
     regulated.

1.8. What happens if a firm goes bust while the Financial Ombudsman Service is
     looking at my complaint?

     If this happens, the Financial Ombudsman Service will suspend its investigation into
     your complaint, as it is unable to assist where a firm is unable to pay claims against it. It
     will write to you explaining that it has referred your case to the FSCS. The FSCS will
     then contact you to explain how it may be able to help.

1.9. Do I have to pay anything to have a claim considered by the FSCS?

     No. The FSCS is a non-profit, independent organisation set up under the Financial
     Services and Markets Act 2000 (FSMA). It does not charge individual consumers for
     using its service. It is funded by financial services firms.

1.10. How long would it take to process a claim?


September 2010                                                               Page 6 of 21
     The length of time a claim takes to process will depend upon a number of factors, like
     the type and complexity of a claim, and the level of information the FSCS needs to
     gather from other sources. Some of these factors may be entirely outside the FSCS‟s
     control, but here are the general guidelines for each claim type:

             From January 2011 standard deposit claims will be processed within twenty
              days of a firm defaulting and in a target of seven.
             The FSCS tries to resolve all claims against investment firms, insurance
              brokers, and mortgage brokers within six months of receipt of your correctly
              completed Claim Application Form, or within six months of the company being
              declared in default (whichever is later). Many claims are dealt with within this
              timeframe, but some do take longer, especially if information from other parties
              is required.

1.11. Why is there a limit to the compensation available from the FSCS?

     The FSCS‟s rules, set by the FSA, tell them which types of claim are eligible for
     compensation and limit how much compensation they are allowed to pay. There are
     limits to the compensation the FSCS can provide.

     To be eligible for compensation you must have lost money because of your dealings
     with a regulated financial services firm. The FSCS can pay compensation only for
     financial loss. The FSCS does not protect against poor investment performance or
     market fluctuations. For example, for investment claims the compensation the FSCS
     pays would try to take account of the financial position you would have been in had you
     not invested.

1.12. What are the FSCS’s compensation limits?

     The FSCS covers business conducted by firms authorised by the FSA. The
     compensation limits are:

          Deposits the compensation limit increased to 100% of the first £85,000 per person
          per authorised firm on 31 December 2010.
         Investments 100% of the first £50,000 per person per firm (for claims against firms
          declared in default from 1 January 2010)
         Home Finance (e.g. mortgage advice and arranging): £50,000 per person per
          firm (for claims against firms declared in default from 1 January 2010).
         Insurance Business: unlimited. 90% of the agreed claim with no upper limit.
          Compulsory insurance is protected in full
         General insurance advice and arranging: unlimited (for business conducted on
          or after 14 January 2005). 90% of the agreed claim with no upper limit. Compulsory
          insurance is protected in full.




1.13. How does the FSCS decide whether it can help me with a deposit claim?



September 2010                                                             Page 7 of 21
     To qualify for compensation you must be eligible under the FSCS rules which are made
     by the FSA, the independent watchdog set up by government under the Financial
     Services & Markets Act 2000 (FSMA) to regulate financial services in the UK and to
     protect the rights of consumers. The rules tell the FSCS which types of claim are
     eligible for compensation, and limit how much compensation they are allowed to pay.

1.14. Can the FSCS compensate firms as well as individuals?

     The Scheme was set up mainly to help individuals, although some smaller businesses
     are also covered. Larger businesses are generally excluded, although there are some
     exceptions to this. The FSCS‟s rules, made by the FSA, set out which claims are
     eligible for protection. The rules form part of the FSA Handbook and can be found
     under the redress section. (Please also refer to question 2.5).

1.15. How does the FSCS fund compensation payments?

     The FSCS is funded by the financial services industry which has to pay levies to the
     Scheme. FSA authorised firms are levied each year. The amount firms have to pay
     depends on the claims volumes and compensation the FSCS is likely to have to deal
     with that coming year. The FSCS can issue an additional levy during the course of a
     financial year (up to a current total annual limit of £4.03 billon) and it is able to borrow
     additional funds if necessary.




September 2010                                                                Page 8 of 21
2. Q & As for Deposit firms

2.1. My money is in a joint account, how would the FSCS pay compensation if you
     failed?

     The FSCS limit for deposits increased to 100% of the first £85,000 per person
     per authorised firm on 31 December 2010.

     Each depositor is covered up to the FSCS limit per person per authorised firm,
     regardless of how many accounts they hold or whether they are a single or joint
     account holder. In the case of a joint account, the FSCS will assume that the money in
     that account is split equally between the account holders, unless evidence shows
     otherwise.

     This means that each account holder in a joint account would be eligible for
     compensation up to £85,000, a total of £170,000 for the account.

2.2. Will the FSCS compensate for any interest earned on my account?

     Yes, interest will be calculated according to the type of account you hold. For further
     details please refer the customer to the FSCS website, www.fscs.org.uk.

2.3. What is the position if I have multiple accounts with you? Or if I have accounts
     with different banks that share your authorisation?

     If you hold multiple accounts with us you need to be aware the FSCS would pay
     compensation per person, up to the compensation limit for each individually authorised
     firm, not per account. The limit increased on the 31 December 2010 to £85,000.
     Many deposit-taking firms operate using different trading names which are not
     separately authorised entities. You may find that you have deposits with different
     “banks” but they are actually linked and operate under one single authorisation. This
     would mean that you are only covered once up to the compensation limit.
     If you have a question about how a bank or building society is authorised, please
     contact the Financial Services Authority Consumer Contact Centre on 0845 606 1234.

2.4. What happens if I owe money to you and you fail?

     From January 2011 compensation will be paid to consumers based on amounts held in
     their cash accounts regardless of the amounts owed to us (for example, loans,
     mortgage or credit card debts). This does not mean that consumers do not have to re-
     pay amounts owed to us if we were to fail. Any outstanding amounts owed to us would
     be collected by the liquidator.

2.5. Is a charity covered if the bank or building society it holds money with fails?

     If a bank or building society authorised by the FSA is unable to pay back deposits held
     with it, the FSCS can pay up to the compensation limit (£85,000 from 31 December
     2010) an eligible depositor's claim, per authorised institution. The FSCS protects
     private individuals and some small businesses. Whether a charity is covered will


September 2010                                                             Page 9 of 21
    depend on how it is constituted. There is no requirement for charities to be established
    by way of a particular structure or form.

    According to section one of the Charities Act 2006, a "charity" is simply an institution
    established for charitable purposes only, which is subject to the control of the High
    Court in the exercise of its jurisdiction with respect to charities. There are as many
    permutations of charitable structures as there are types of legal personality. As
    charities are not specifically provided for in the FSCS‟s eligibility rules, their eligibility
    will be determined by their structure and legal personality.

    For example, a charity can be constituted as a limited company, or an unincorporated
    association. In those circumstances, the eligibility test would be the same as for a
    company:

    A limited company would be treated as having a claim, and hence protection in its own
    right up to the limit, if it fell within the definition of a "small company". A company
    qualifies as a "small company" under the provisions of section 382 of the Companies
    Act 2006 if it fulfils two of the following three criteria:

           it has a turnover of not more than £6.5 million;
           it has a balance sheet total of not more than £3.26 million; and
           it has not more than 50 employees.

    If the charity is an unincorporated association, it will be entitled to claim up to the limit,
    unless it falls into the category of a "large mutual association" (see COMP 4.2.2(13)) -
    the test which applies is that it must have less than £1.4 million in net assets.

    Different rules apply in respect of insurance claims.

2.6. Are offshore deposits covered?

    The FSCS does not cover deposits outside the European Economic Area (EEA), or in
    the Channel Islands or Isle of Man.




September 2010                                                                Page 10 of 21
3.    Q & As for investment firms


 3.1. How does the FSCS decide whether it can help me with an investment claim?

      To qualify for compensation you must be eligible under the FSCS rules which are made
      by the FSA, the independent watchdog set up by government under the Financial
      Services & Markets Act 2000 (FSMA) to regulate financial services in the UK and
      protect the rights of consumers. The rules tell the FSCS which types of claim are
      eligible for compensation, and limit how much compensation they are allowed to pay.

      For an investment claim to be eligible to receive compensation from the FSCS, it must
      meet ALL of the following criteria:

            the arrangement of or advice you received to buy the investment must have
             been given on or after 28 August 1988; AND
            the firm you dealt with must have been authorised by the appropriate regulator
             to do so at that time; AND
            you must have lost money as a result of the advice you were given or other
             services you received; AND
            the firm (or its principals) no longer has sufficient assets to meet claims for
             compensation.

 3.2. How long would it take to process a claim?

      After a firm has been declared in default, the FSCS will aim to process your claim within
      six months of receiving your application form. Any delays may be caused by factors
      outside their control, or because the claim is particularly complicated. For example,
      they may have difficulty getting hold of important files from third parties; they may be
      waiting for information from a liquidator; or they may have many claims arising from a
      particular default which will take time to process.

      You should inform the FSCS if you are facing immediate financial hardship and they will
      try to deal with your claim as a priority.

 3.3. Are investments held by nominee companies covered?

      Authorised investment firms such as stockbrokers may arrange for your shares to be
      registered in the name of a nominee company. They can do this only if you agree in
      writing.

      Nominee companies are covered by the FSCS if they are authorised or if an authorised
      investment firm has accepted responsibility for their losses.

      If the nominee company is not separately authorised consumers should check whether
      the investment firm has accepted responsibility to ensure they are covered by the
      FSCS. If a nominee company is not authorised and the adviser has not legally
      accepted responsibility for its actions, the investors will not be covered by the FSCS if
      the nominee causes them any loss.



 September 2010                                                           Page 11 of 21
    You can check whether a firm is regulated by using the FSA's Firm Check service or by
    phoning the FSA Consumer Helpline on 0845 606 1234.

3.4. Does the FSCS cover investments made through solicitors and other
     professionals?

    The Law Society has its own compensation scheme for its members' investment
    business, so claims against solicitors in England and Wales should be referred to it.
    Claims against solicitors in Scotland should be referred to The Law Society of Scotland.

    Claims against some other professionals can be made to the FSCS, but only if the
    claim arose on or after 1 December 2001. If your claim is for activities before this date,
    please look at the FSCS‟s „Claiming compensation‟ booklet for details of the
    organisations to contact.




September 2010                                                           Page 12 of 21
4. Q & As for General Insurance


    4.1. Would I still get FSCS protection if I stopped paying my insurance premiums?

         If you stopped paying your insurance premium your insurance cover may end
         immediately and the FSCS may not be able to pay your claim. You would need to
         speak to the insolvency practitioner or an adviser for guidance on the payment of future
         premiums and the consequences of stopping payments.

    4.2. What would the FSCS do if [insert firm name] were to become insolvent?

         The FSCS's role is to protect policyholders. In the unlikely event that we became
         insolvent the FSCS would work with the insolvency practitioners, who would be
         responsible for the ongoing administration of our firm and the settlement of claims.
         Any queries relating to policies or claims would be directed in the first instance to the
         insolvency practitioners.
         The FSCS would work with the insolvency practitioners to ensure that policyholders
         had clear instructions on how to make a claim and what to do if they need immediate
         assistance.
         The FSCS can provide funds to meet protected claims, including return of premiums, if
         a firm is unable to do so. The Scheme can also try to arrange (or assist) a transfer of
         some of the business to other insurers, if this is cost effective and practical.

    4.3. How long would it take to settle claims and make payments to policyholders?

         The appointed insolvency practitioners would be responsible for processing claims for
         compensation. However, the FSCS would work with the insolvency practitioners to
         enable payment of claims as quickly as possible. All claims are dealt with on a case by
         case basis.

    4.4. Is a charity covered if their insurance company fails?

         In respect of the general insurance scheme, a charity would be treated as having a
         claim, and hence protection in its own right, if it fell within the definition of a "small
         business". A small business is defined as a partnership, body corporate,
         unincorporated association or mutual association with an annual turnover of less than
         £1 million (or its equivalent in any other currency at the relevant time). There is
         generally no size criterion in the case of life insurance (COMP 4.3.2R).




    September 2010                                                             Page 13 of 21
5. Q & As for Insurance brokers

    5.1. What should I do if I think I have been mis-sold an insurance policy?

         If you have a complaint against the firm you should contact us and we will consider
         your complaint. If you are still dissatisfied you can contact the Financial Ombudsman
         Service. In the unlikely event that we became insolvent you can contact the FSCS.
         If an insurance broker becomes insolvent, the liquidator or the FSCS will get in touch
         with you to explain what is happening to your policy or claim. It may be possible to
         transfer your policy, or otherwise ensure that your cover will continue. If not, you may
         be entitled to receive compensation.
         The FSCS will work with the firm or its liquidator in dealing with claims. We will try to do
         so as quickly as possible, but both the FSCS and the liquidator are subject to certain
         legal requirements and, if there are a large number of policyholders, some delay is
         likely.
         If you think you have a claim but are not contacted, or if you are worried about what is
         happening with your claim, please contact the FSCS.
         If the FSCS can help with your claim, they will write to you to ask you to complete a
         detailed application form.




    September 2010                                                             Page 14 of 21
6. Q & As for Life insurance firms

     6.1. What would the FSCS do if [insert firm name] were to become insolvent?

          In the unlikely event that we became insolvent the FSCS would work with the
          insolvency practitioner, who would be responsible for the ongoing administration of the
          company. The FSCS‟s role is to secure protection for eligible policyholders of the
          insolvent company who had protected contracts of insurance.
          The insolvency practitioner and the FSCS would seek to secure continuity of cover for
          policyholders, either by transferring policies to a different insurer or arranging for a
          different insurer to issue substitute policies.
          Whilst investigating the options for continuity, the FSCS would ensure that protected
          policyholders‟ benefits that fall due for payment in the meantime are paid at 90%,
          without any upper limit. These payments would include pensions and other regular
          payments, death claims, policies that mature and pensions that vest at retirement.
          If you stopped paying your insurance premium your insurance cover may end
          immediately and the FSCS may not be able to pay your claim. You would need to
          speak to the insolvency practitioner or an adviser for guidance on the payment of future
          premiums and the consequences of stopping payments.

     6.2. Am I covered?

          Broadly speaking, the FSCS protects all UK policies issued prior to 1 December 2001
          by a UK authorised insurer.
          For policies issued after 1 December 2001, policyholders of a UK-based insurer are
          protected wherever they live in the European Economic Area (EEA). Additionally UK
          policyholders of insurers based elsewhere in the EEA are protected.
          The location of an individual policyholder is determined by where their habitual
          residence was when the policy commenced.

     6.3. What is the level of protection provided by the FSCS?

          For long term insurance policies, the level of protection provided by the FSCS with
          immediate effect is 90% of the contractual benefits provided under the policy. There is
          no limit to the amount that is protected. If continuity of insurance can‟t be achieved, you
          may be eligible for lump sum compensation. Refer to question 6.4 for further details.


     6.4. How long would it take to make payments to policyholders?

          In the unlikely event that we became insolvent an insolvency practitioner would be
          appointed. The insolvency practitioner would be responsible for processing policy
          claims. However, the FSCS would work with them to ensure that policy benefits were
          paid when due as soon as was reasonably practical, at least at the protected level.




     September 2010                                                            Page 15 of 21
    The FSCS would wish to ensure continuity of regular payments such as pensions as far
    as possible. The FSCS would regard regular payments, death and disability claims and
    maturities as priorities.

    The numbers of policyholders likely to be involved and the complex nature of the
    insolvency of a life insurer would take time to resolve and may cause a delay until
    benefits can be paid. Dealing with a large number of claims takes time and depends
    also on the nature and complexity of each claim.




September 2010                                                       Page 16 of 21
                   QUESTIONS FOR CONSUMERS TO ASK FIRMS

The below will be available on the FSCS‟s website for consumers to use when talking to
firms.


                                How to check you’re covered

The Financial Services Compensation Scheme (FSCS) is the independent body, set up by
government, funded by financial services firms, which may be able to compensate you if your
financial services provider goes bust. We are sorry, but we can not help you if the firm you
have done business with is still trading.


There are limits to the levels of cover the FSCS can offer. Below are some questions that
you can ask your bank, building society or financial services provider to check your level of
cover.


Before you call any financial institutions, make sure you have the relevant papers (for
example recent statements) for all your financial products in front of you. This will help with
answering question four in particular, as you may hold financial products with different firms
but which operate under the same „parent‟ licence, which affects your level of cover.


Questions:


1. Are you FSA regulated?


2. What is my product classified as?
   Information for consumers: The FSCS covers business conducted by firms authorised by
   the FSA. The classification of your financial product will determine how much cover you
   have. Your product will fall into one of the following categories: Deposits (usually held
   with banks, building societies or credit unions), insurance business, home finance
   (including mortgage advice), investment business, and life and pensions. The firm you
   did business with should know what category your product falls under.




September 2010                                                             Page 17 of 21
3. How much of my money is covered?
   Information for consumers: The FSCS has limits; these are applied per person per
   authorised firm. The compensation limits are:

        Deposits: the compensation limit increased to £85,000 per person per authorised
         firm on 31 December 2010.
        Investments: 100% of the first £50,000 per person per firm (for claims against firms
         declared in default from 1 January 2010).
        Home Finance (e.g. mortgage advice and arranging): £50,000 per person per
         firm (for claims against firms declared in default from 1 January 2010).
        Insurance Business: unlimited. 90% of the agreed claim with no upper limit.
         Compulsory insurance is protected in full.
        General insurance advice and arranging: unlimited (for business conducted on
         or after 14 January 2005). 90% of the agreed claim with no upper limit. Compulsory
         insurance is protected in full.

4. Will any of my other products affect this coverage?
   Information for consumers: The FSCS can only pay compensation for financial
   loss. Compensation limits are per person per authorised firm, and per claim category.
   Some companies share a licence, and operate under a ‘parent’ organisation. Many
   deposit-taking firms operate using different trading names which are not separately
   authorised. You may find that you have deposits with different banks but they are actually
   linked and operate under one single authorisation. This would mean that you are only
   covered once up to the compensation limit.


5. If I am unhappy with the advice I was given is there anything I can do?
   Information for consumers: If you have lost money because of theft, fraud, bad or
   misleading advice the FSCS may be able to help.




September 2010                                                          Page 18 of 21
CONSUMER FRIENDLY DESCRIPTION OF THE FSCS FOR FIRMS


The Financial Services Compensation Scheme (FSCS) is the independent body, set up by
government, which gives you your money back if your authorised* financial services provider
goes bust.


The FSCS protects a range of products for both individuals and small businesses. Limits
apply depending on the product you have bought. The FSCS does not charge individual
consumers for using its service. The FSCS cannot help you if the firm you have done
business with is still trading.


You can contact the FSCS helpline on 020 7741 4100 or 0800 678 1100, write to the
address below or visit the website www.fscs.org.uk


Financial Services Compensation Scheme
7th Floor, Lloyds Chambers
1 Portsoken Street
London
E1 8BN




* The FSCS can only pay compensation for customers of financial services firms authorised
by the FSA.




September 2010                                                         Page 19 of 21
                           TRAINING MODULE FOR FIRMS

A PowerPoint presentation has been prepared for firms supporting the consumer awareness
programme to present to their customer facing staff. This explains what the FSCS does; our
limits; why we are running a campaign; how your firm can benefit from supporting the FSCS
and the information your staff can use to inform customers of the protection the FSCS
provides.




September 2010                                                         Page 20 of 21
     CHECKLIST FOR FIRMS SUPPORTING THE FSCS CONSUMER AWARENESS
                                        PROGRAMME


This is a checklist of things for you to do so that you and your staff are ready to answer
questions from your customers about the Financial Services Compensation Scheme.


Training

Have you…

   1. Trained your staff so that they can answer general questions about the FSCS?
       [Support Materials in the Toolkit: FSCS presentation / Q&As / refreshing staff on
       complaint handling]

   2. Considered what FSCS category each of the products you sell comes under? E.g.
       Cash ISA comes under deposits, Investment ISA comes under investments.

   3. Briefed your staff about the different levels of cover that apply to each category of
       product you have?
       [Support Materials in the Toolkit: FSCS presentation / Q&As]

   4. Considered the different permissions your firm holds, the activity your firm carries out
       and the impact this may have on an individual consumer‟s level of cover?

   5. Written your firm‟s answers to the questions customers may ask you, and briefed
       frontline staff on them?
       [Support materials in the Toolkit: Consumer questions]

   6. Advised your staff of who in your firm they need to refer to for a complex query?

   7. Briefed your call centre that the programme will be running so they can capacity plan
       for queries?

   8. Got contact details for the FSCS?

       [By phone: 0800 678 1100 or 020 7741 4100; by email: enquiries@fscs.org.uk or by
       post to: Financial Services Compensation Scheme, 7th Floor, Lloyds Chambers, 1
       Portsoken Street, London, E1 8BN]




September 2010                                                            Page 21 of 21