Extra protection if your bank fails

SAVERS are in line to get an extra £10,000 protection in the event of their bank going bust.

Under existing rules, £75,000 of each saver’s money is covered under the Financial Services Compensation scheme.

From January 30, however, this limit is set to rise to £85,000 — £170,000 for joint accounts.

A spokesman for the FSCS has revealed that the new limit would protect around 98 pc of all savers in the UK.

The safety net scheme, which is funded by banks, insurers and other financial companies, has paid out more than £26billion to a total of 4.5million people since 2001.