MAIN FEATURES OF THE SCHEME
can be identified easily (for example, single accounts and joint accounts), the scheme will pay out depositors within 20 working days after a bank’s deposit accounts have been closed. It may take longer for the scheme to pay out the holders of accounts who cannot be identified easily (for example, pooled accounts). Over time, the scheme should reduce the time it takes to pay out all account-holders, and aim to pay out all covered deposits within seven working days after a bank’s accounts have been closed.
• It will be compulsory for all registered banks to belong to the scheme.
• The scheme will be consulted whenever the Sarb receives an application for a new banking licence.
• The following rules are proposed with respect to deposit coverage:
– Foreign nationals’ deposits and foreign-currency deposits held at domestic branches of South African banks will be covered.
– Deposits will be covered on a gross basis. In other words, when calculating