What is the difference between an e-money account and a bank account?

Money held in an e-money account is safeguarded as set out under the Electronic Money Regulations. This means that funds held in an e-money account are kept separate from the funds of the e-money account provider and are not eligible for protection under the UK Deposit Guarantee Scheme.

In the event of the insolvency of the e-money account provider, a member’s claim for the repayment of their funds would be paid but may be subject to insolvency practitioner’s/administrator costs of distributing the safeguarded funds.

Your eligible deposits with ClearBank are protected up to a total of £85,000 by the Financial Services Compensation Scheme, the UK’s deposit guarantee scheme.

The FSCS Information Sheet which provides further details, including:

• the limit of your protection;

• what happens if you have more than one ClearBank bank account;

• the currency of reimbursement; and

• contact details