Important information about Safeguarding
Moneycorp (TTT Moneycorp Ltd) is an authorised Payments Institution (API), regulated by the FCA in the UK under the Payment Services Regulations 2017, for the provision of payment services.
When you send us money to make a payment Moneycorp gives you the value in your payments account which you can use to make payments to your recipients. While this may sound similar to what a bank does when funds are received into a current account, there are differences between Moneycorp and a bank which means that:
- we do not take your money as a deposit to use for our own purposes or lend to other customers; and
- your money is not covered by the Financial Services Compensation Scheme (FSCS) which is a scheme that protects you when financial firms fail but it is covered in another way called ‘safeguarding’
‘Safeguarding’ is a regulatory requirement for all APIs. In this process we keep your relevant money separate from our own money and safeguard it in an account with Barclays Bank PLC. An independent expert checks that we are compliant with our safeguarding obligations every year and this can be checked by the FCA.
Unlike with the FSCS, which provides compensation up to only £85,000, all your relevant money held in the Barclays Bank PLC account is safeguarded, so in the unlikely event that we go out of business, the full value of your relevant funds that have been safeguarded (minus administrative costs applied by the insolvency practitioner) will be returned to you.
Barclays Bank PLC provides us with safeguarding account(s), but does not monitor the funds we place on the safeguarding account or how we operate these accounts. As an FCA Authorised Payment Institution it is our responsibility to segregate funds and ensure the account is being operated in a compliant manner.
You can find more information about this on the FCA’s website. If you do have any questions, or would like to discuss this further please do contact us on: