Claim compensation from the FSCS

Consumers may be entitled to compensation if they have lost money as a result of their dealings with one of several home financial firms the Financial Services Compensation Scheme (FSCS) has declared in default.

The FSCS is the UK’s statutory compensation scheme for customers of regulated financial services firms. A declaration of default means the FSCS is satisfied the firm is unable to pay claims for compensation themselves. The FSCS does not charge individual consumers for using its service. For claims relating to mortgage advice or arranging, the FSCS can pay up to £50,000 per person per firm for defaults on or after January 2010.

Mark Oakes, Head of Communications for FSCS says: “We have already started paying compensation in respect of these firms. However, we are encouraging anyone who has not been contacted by us and believes they may be owed money as a result of their dealings with either one of these firms to get in touch with the FSCS.”

FSCS is free for consumers and was set up by Government in 2001. The scheme is funded by the financial services industry and has helped more than 4.5m people, paying out more than £26bn in compensation.

The FSCS Initial Contact Team can be contacted on 0800 678 1100 or 020 7741 4100 or by email at enquiries@fscs.org.uk. Further information about the FSCS is available on its website at www.fscs.org.uk.