General limit of protection. If a deposit is unavailable because a credit institution is unable to meet its financial obligations, depositors are compensated by a deposit guarantee scheme. The allowance is capped at €100,000 per person and per credit institution. This means that all accounts payable with the same credit institution are added up to determine the amount eligible for the guarantee (subject to the application of the legal or contractual provisions relating to compensation with its accounts receivable). The compensation ceiling is applied to this total. Deposits and persons eligible for this guarantee are mentioned in Article L. 312-4-1 of the French Monetary and Financial Code (for more details on this point, see the FGDR website). For example, if a Client has an eligible savings account (excluding Livret A, Livret de Développement Durable and Livret d’Epargne) with a balance of €90,000 and a current account with a balance of €20,000, compensation will be capped at €100,000. This method also applies when a credit institution operates under several commercial brands. This means that all the deposits of the same person accepted under these commercial brands receives a maximum compensation of €100,000.
Appears in 2 contracts
Sources: Current Account Agreement, Deposit Account Agreement