Deposit Insurance Scheme (effective 1 May 2011) - FAQs

With effect from 1 May 2011, the Deposit Insurance Scheme comes under the Deposit Insurance And Policy Owners' Protection Schemes Act 2011, with the following material changes:

1. The insured deposit coverage limit has been increased to S$50,000 per depositor, per Scheme member.

2. Insured depositors now include depositors in general (including sole proprietorships, partnerships, companies, societies and associations), except for depositors who are themselves banks.

What is the scope of the Deposit Insurance Scheme?
What types of deposits are covered under the Deposit Insurance Scheme?
Who is covered under the Deposit Insurance Scheme?
Are the deposits held by a corporate entity insured under the Deposit Insurance Scheme? Will the coverage be aggregated for a group of related entities?
Are foreign currency deposits covered under the Deposit Insurance Scheme?
Are structured deposits covered under the Deposit Insurance Scheme?
How can I find out if my Standard Chartered deposit is eligible for coverage under the Deposit Insurance Scheme?
How much will my deposits be insured for under the Deposit Insurance Scheme?
How is the coverage limit calculated for joint accounts?
I am a sole proprietor. How will my deposits be insured?
I am a partner in a partnership. How will the partnership's deposits be insured?
I have a trust account. Who is treated as the depositor of the account?
How will the deposits in client accounts be insured?
I have outstanding liabilities with the Bank. How will this affect any compensation due to me under the Deposit Insurance Scheme?

Deposit Insurance Scheme - FAQs

1. What is the scope of the Deposit Insurance Scheme?

From 1 May 2011, Singapore dollar deposits held by non-bank depositors in eligible savings, fixed deposit and current accounts will be insured up to S$50,000 per depositor in accordance with the Deposit Insurance And Policy Owners' Protection Schemes Act 2011.

2. What types of deposits are covered under the Deposit Insurance Scheme?

Generally, all Singapore dollar deposits in savings, fixed deposit and current accounts are covered. You can find a list of eligible Standard Chartered deposit accounts on the Bank's Insured Deposit Register.

CPFIS deposits are also eligible for separate coverage under the Deposit Insurance Scheme. However, Standard Chartered Bank does not offer CPFIS deposits.

3. Who is covered under the Deposit Insurance Scheme?

Depositors in general (including sole proprietors, partnerships, companies, societies and associations) are covered.

Depositors who are themselves banks are excluded.

4. Are the deposits held by a corporate entity insured under the Deposit Insurance Scheme? Will the coverage be aggregated for a group of related entities?

A: All eligible deposits held by non-bank entities, including corporate entities, will be insured up to a maximum of S$50,000 for each entity. The Deposit Insurance coverage is not aggregated for a group of related entities. The eligible deposits of each entity will be aggregated, and insured up to a maximum of S$50,000 for that entity.

5. Are foreign currency deposits covered under the Deposit Insurance Scheme?

No. Only Singapore dollar deposits are covered under the Deposit Insurance Scheme.

6. Are structured deposits covered under the Deposit Insurance Scheme?

No, structured deposits are not covered under the Deposit Insurance Scheme.

7. How can I find out if my Standard Chartered deposit is eligible for coverage under the Deposit Insurance Scheme?

If your Singapore dollar deposit is in one of Standard Chartered's deposit accounts listed on the Bank’s Insured Deposit Register, it will be eligible for coverage under the Deposit Insurance Scheme.

You may refer to the Bank's Insured Deposit Register to find out if your Standard Chartered deposit account is eligible for coverage under the Deposit Insurance Scheme.

8. How much will my deposits be insured for under the Deposit Insurance Scheme?

All eligible deposits belonging to you will be aggregated and insured up to a maximum of S$50,000.

Example: You have (i) an individual e$aver account with a balance of S$10,000, (ii) an individual Cheque and Save account with a balance of S$10,000 and (iii) an individual Time Deposit account with a balance of S$60,000. Your aggregate deposit with Standard Chartered Bank is S$80,000. Under the Deposit Insurance Scheme, your deposits will be insured at the cap of S$50,000.

9. How is the coverage limit calculated for joint accounts?

For joint accounts, the deposit balance is divided equally among all account holders. Thereafter, the same rules for calculating insurance coverage for deposits belonging to individual will apply.

Example: You have (i) an individual e$aver account with a balance of S$20,000 and (ii) a joint Cheque and Save account with a balance of S$80,000 with your spouse. For the purposes of the Deposit Insurance Scheme, both you and your spouse will be attributed half of the balance of the Cheque and Save account. Your aggregate deposit with Standard Chartered Bank is therefore S$60,000. Under the Deposit Insurance Scheme, your deposits will be insured at the cap of S$50,000. In addition, your spouse’s share of the deposit in the Cheque and Save account will be insured for S$40,000.

10. I am a sole proprietor. How will my deposits be insured?

Deposits held by your sole proprietorship will be treated as if they were held by you. For the purposes of calculating the insurance coverage, deposits held by your sole proprietorship will be aggregated with deposits held by you in your own name.

Example: You are the sole proprietor of ABC Company, which has a deposit of S$60,000. You also have a S$20,000 deposit in your personal account. Your deposits will be aggregated and insured at the cap of S$50,000.

11. I am a partner in a partnership. How will the partnership's deposits be insured?

A partnership is treated as a single entity for the purpose of calculating the insurance coverage.

Example: You are a partner of ABC partnership, which has 3 partners. The partnership has a deposit of S$60,000 with Standard Chartered Bank, and you also have a S$20,000 deposit in your personal account. The partnership account will be insured at the cap of S$50,000, and your deposit will separately be insured for S$20,000. The partnership's deposit will not be split three ways.

12. I have a trust account. Who is treated as the depositor of the account?

From 1 May 2011, the trustee (and not the beneficiary) will be treated as the depositor of the account.

Coverage will be on a per account basis and will not be aggregated with other accounts held by the same trustee or with the trustee's own accounts.

Example: You have (i) an individual e$aver account with a balance of S$20,000, (ii) Trust Accounts A with a balance of S$60,000 and your son as the beneficiary and (iii) Trust Account B with a balance of S$15,000 and your daughter as the beneficiary. Your insured deposit coverage will be based on your e$aver account only i.e. S$20,000. Separately, Trust Account A will be insured at the cap of S$50,000 and Trust Account B will be insured for S$15,000. If your son has an individual e$aver account with a balance of S$5,000, his deposit will not be aggregated with the deposit in Trust Account A. Instead, his deposit will separately be insured for S$5,000.

13. How will the deposits in client accounts be insured?

Coverage will be on a per account basis and will not be aggregated with the depositor's own account or with other client accounts.

Example: If a law firm maintains (i) a firm account, (ii) a client account for a client Mr Tan and (iii) another client account for a client Mr Lee, each of the three accounts will be insured up to the respective coverage limit of S$50,000.

14. I have outstanding liabilities with the Bank. How will this affect any compensation due to me under the Deposit Insurance Scheme?

The compensation payout is based on the gross amount of insured deposits (up to the cap of S$50,000) without netting off your liabilities to the Bank.