Safeguarding your MuchBetter account
Have you been wondering how we keep the money in your MuchBetter account safe?
Here we will explain how we protect your money.
The legal bit
MuchBetter is authorised as an Electronic Money Institution by the Financial Conduct Authority (the FCA). In accordance with terms laid out by the FCA, MuchBetter will ensure that your money is protected through an internal process known as “safeguarding”.
Safeguarding requires us to set up a dedicated bank account in which we hold all our customer’s money. The main function of this safeguarding account is to separate your money from our operational funds and to block access to this money by third parties.
It’s important to remember that your money with MuchBetter is not covered by the Financial Services Compensation Scheme (FSCS), so if FSCS protection is important to you, you should instead consider opening a bank account. We take the protection of your money very seriously, and we just do this in line with the FCA rules, but differently than the FSCS. In practice, this means that if you had £100,000 in a bank account and the bank went into liquidation, you would only recover up to £85,000 from the FSCS. However, if you were to have the same amount in your MuchBetter wallet and we were to go into liquidation, all your funds would be safeguarded.
Safeguarding is how we protect the money you have in your e-wallet. Your funds are protected as soon as they are received and until they leave your wallet.
What this really means for you
In the unlikely event that MuchBetter were to go into liquidation, all your funds would be safeguarded as these are separated from our operational funds. This protection continues to be in place even if our own business is terminated because that money will continue to be held by the bank and be available for you and will not be available to third parties.
We hope this puts your mind at ease and reassures you that you’re in safe hands with MuchBetter’s
safeguarding process.
You can find further information here and if you still have questions, please email us via support@muchbetter.com
Thank you,
The MuchBetter team
QuickPay is acting as an Electronic Money Distributor (EMD) for Sureswipe E.M.I. PLC (“Sureswipe”), a public limited liability company established in Cyprus, with registration number HE366500 and registered address at 18 Kyriakou Matsi, 1st Floor, Nicosia 1082, Cyprus and authorised as an Electronic Money Institution (EMI) with authorisation number 115.1.3.26, under the supervision of the Central Bank of Cyprus.
Safeguarding is a key regulatory requirement for all electronic money institutions (EMIs) in Europe. In accordance with the electronic money regulations, any funds received by an EMI in exchange for e-money must be segregated from the EMI’s own funds in a designated bank account held with a bank located in the European Union which is separate from the EMI’s own operational funds.
As the authorised EMI, Sureswipe has an obligation to hold a designated account for the safeguarding of client money and any funds held in the designated bank account will not be used against payment of liabilities meaning that your funds are protected as soon as they are received and until they leave your wallet.
This protection continues to be in place even if our business is terminated because that money will continue to be held by the bank and be available for you and will not be available to third parties.
We hope this puts your mind at ease and reassures you that you’re in safe hands.
You can find further information on the European Payment Services Directive 2 (PSD2) here (https://www.eba.europa.eu/regulation-and-policy/single-rulebook/interactive-single-rulebook/5482) and if you still have questions, please email us via support@muchbetter.com
