The Eligible Liabilities Guarantee ceased to apply for new deposits after 28 March 2013. It applied to qualifying deposits for a maximum of five years.<\/p>\n
The current deposit guarantee is based on an EU Directive made in 2014 and is administered by the Irish Central Bank. Banks must be members of the scheme. If they fail to do so, they may be precluded from taking deposits.<\/p>\n
The scheme primarily applies to retail deposits, excluding interbank deposits, banks’ own funds held by investment funds, public authorities’ debt securities issued by the bank, and precludes monies lodged by persons convicted of money laundering offenses.<\/p>\n
Pension funds and retirement funds are not included when made by institutional depositors. Deposits by the trustees of small self-administered pension funds are covered.<\/p>\n
The Irish scheme covers deposits with new branches of Irish authorised banks, as well as deposits of banks within Ireland.\u00a0Banks are to identify deposits protected by the scheme. Customers must be provided with information about the availability of the scheme and how it operates.<\/p>\n
The deposit cover is up to \u20ac100,000 for each depositor.\u00a0Deposits by partnerships and associations are deemed a single deposit.Deposits of temporary high balances up to \u20ac1 million per six months are protected.<\/p>\n
Joint deposits are presumed to be repaid equally. The \u20ac100,000 is an aggregate per depositor. The amount is fixed at the date of insolvency, such as the appointment of a liquidator or examiner, or by the date the Central Bank decides that the bank is not able to meet its liabilities to depositors.<\/p>\n
Payment is to be made within seven working days of the determination by the Central Bank or court.<\/p>\n
The deposit guarantee fund has established contributions by authorised banks. Later, extraordinary contributions may be required. The deposit fund aims to reach a target of .8% of covered deposits by 2024.<\/p>\n
For low credit risk, banks may be designated by the Department of Finance and be eligible to make a lower level of contribution.<\/p>\n\n
\n <\/div>\n\n","protected":false},"excerpt":{"rendered":"
EU Directive A 1994 EU directive provides for deposit protection.\u00a0 The rules have been modified and updated in the light of the financial crisis in 2008. There are harmonised deposit guarantee requirements.\u00a0 Each state must ensure one or more deposit guarantee schemes is introduced.\u00a0 States may exempt institutions belonging to a scheme which ensures the […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_exactmetrics_skip_tracking":false,"_exactmetrics_sitenote_active":false,"_exactmetrics_sitenote_note":"","_exactmetrics_sitenote_category":0,"footnotes":""},"categories":[49],"tags":[],"_links":{"self":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/605"}],"collection":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/comments?post=605"}],"version-history":[{"count":5,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/605\/revisions"}],"predecessor-version":[{"id":29787,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/posts\/605\/revisions\/29787"}],"wp:attachment":[{"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/media?parent=605"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/categories?post=605"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/legalblog.ie\/wp-json\/wp\/v2\/tags?post=605"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}