Bank Deposit Protection at Last

After years of slow progress, legislation passed 2 years ago, finally comes into force from July 1^st 2025. The Depositor Compensation Scheme (DCS) means that deposits of up to $100,000 per individual per institution will be guaranteed should the institution default at any time. It has been estimated that this will cover 93% of deposits nationwide. Deposit Takers are banks and non-bank deposit takers, including credit unions, building societies, and finance companies that take retail deposits. A full list of institutions offering the DCS is listed on the Reserve Bank website Find list here . You are urged to check with your institution to ensure your deposits are included in the scheme.

Some money is not protected by the DCS, including money held in: Bonds and other tradable products, as well as KiwiSaver and other superannuation schemes that are managed investment schemes, and Foreign currency accounts.