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What happens to cash with a nominee share trade company

I wonder if someone can advise me whether the UK government's guarantee of the first £30,000 (?) savings with a bank also applies to cash held with a share trading company nominee account.
When I use a nominee share trading company, such as selftrade, I believe that my shares are protected against a collapse of the company. However, what about the cash that they are holding on my behalf? Is that protected better than at a bank, worse than at a bank or the same as at a bank?
thank you,
Robert
Reply to
RobertL

I believe that in this case, the protection is up to £48,000.
The information can be found on the FSCS website.
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Terry Harper 
URL: http://www.btinternet.com/~terry.harper/
Reply to
Terry Harper

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Doesn't that cover compensation for bad advice rather than actual loses?
For example people who were advised that an endowment was guaranteed to pay of their mortgage, so chose that rather than a repayment mortgage; or people who were advised that zero div pref shares in split caps were a risk free investment.
Reply to
Jonathan Bryce
On 9 Dec, 01:13, Jonathan Bryce wrote:
y
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yes, I am not talking about compensation for wrong advice or failure of investments but rather about the security of a cash deposit. if I have 30k of shares in am onlnine trading comany for example, and they go bust then my shares are safe. But such online share dealing companies will also hold cash for you (at typically a rather poor rate of interest). Is that covered by the same government guarantee of your first 30k saving with a normal bank?
Robert
Reply to
RobertL

No. Look at what it says: "Investments: £48,000 per person"
The next section says: "Mortgage advice and arranging: £48,000 per person (for business conducted on or after 31 October 2004).
100% of the first £30,000 and 90% of the next £20,000."
Couldn't be plainer.
--
Terry Harper 
URL: http://www.btinternet.com/~terry.harper/
Reply to
Terry Harper
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That is indeed pain. What is not immediately plain is whether it applies to an online brokerage firm. The FSCS says "FSCS is triggered when an authorised deposit taker (such as a bank, building society or credit union) is unable, or likely to be unable, to repay its depositors."
Ah, I see it also says (somewhere else on the website) "FSCS deals with claims against authorised firms (those regulated by the Financial Services Authority) that are unable, or likely to be unable, to pay claims against them."
the online brokerage says it is regulated by teh FSA and gives itss number so that seems to be OK.
Thank you all for your help.
Robert
Reply to
RobertL

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