Australian Government's Deposit Guarantee

From 1 February 2012 a new permanent cap of $250,000 per person/entity per institution will be introduced.

The scheme name has also changed to the Financial Claims Scheme for Deposits (previously known as the Australian Government Guarantee Scheme).

Why is the amount covered by the Financial Claims Scheme changing?

The Government Guarantee was introduced in October 2008 by the Australian Government to help ensure the stability of the banking system at the height of the global financial crisis.

The Council of Financial Regulators, whose members include the Governor of the Reserve Bank, the Secretary to the Treasury, and the Chairs of both APRA and ASIC, have advised that the cap should be set at a new, permanent level to reflect the strength of the Australian banking system.

What do the changes mean for the deposits covered by the Financial Claims Scheme?

The Financial Claim Scheme will continue to provide a free guarantee of deposits up to and including $250,000 AUD.

For more information, please refer to and click on Financial Claims Scheme FAQ

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Source:
http://www.guaranteescheme.gov.au/
http://www.hsbc.com.au/1/2/misc/deposit-guarantee