Financial Claims Scheme

The Financial Claims Scheme (FCS) is an Australian Government scheme that provides protection and quick access to deposits in banks, building societies and credit unions in the unlikely event that one of these financial institutions fails.

Under the Scheme, certain deposits are protected up to a limit of A$250,000 for each account holder at any:

• bank
• building society
• credit union
• other authorised deposit-taking institution that is incorporated in Australia and authorised by the Australian Prudential Regulation Authority (APRA).

The Financial Claims Scheme can only come into effect if it’s activated by the Australian Government when an institution fails.

Once activated, the Scheme will be administered by the Australian Prudential Regulatory Authority (APRA). APRA would aim to pay the majority of customers their protected deposits under the FCS within seven calendar days.

A limit of A$250,000 applies to the sum of an account holder's deposits under the one banking licence. Therefore, all deposits held by an account holder with a single banking institution must be added together towards the A$250,000 Financial Claims Scheme limit. This includes accounts with any other banking businesses that the licensed banking institution may operate under a different trading name.

NAB and ubank operate under the one banking license. Therefore, the A$250,000 limit will apply to the aggregate balance of any eligible accounts across both NAB and ubank.

You can find out more information about the deposits that are covered under FCS by contacting NAB directly. Further information on the FCS is available on the Financial Claims Scheme website, opens in new window.