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Deposit Takers Act 2023

Depositor compensation scheme - Entitlement to compensation - Payment of entitlements

224: Restrictions on entitlement to compensation under scheme

You could also call this:

"You can't get more than one payout for the same protected deposits."

Illustration for Deposit Takers Act 2023

If the Bank pays you the full amount of compensation for your protected deposits, that's all you get. You won't get any more compensation for those same deposits under this Part of the Act. No one else can get compensation for those deposits either.

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View the original legislation for this page at https://legislation.govt.nz/act/public/1986/0120/latest/link.aspx?id=LMS506606.

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Money and consumer rights > Banking and loansBusiness > Industry rules
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223: Bank may disclose information to facilitate payment of compensation, or

"Banks can share your information to help you get compensation."

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225: Protected deposit subject to security interest, or

"Your protected deposit is still safe, even if someone else has a claim on it."

Part 6Depositor compensation scheme
Entitlement to compensation: Payment of entitlements

224Restrictions on entitlement to compensation under scheme

  1. This section applies if the Bank has paid to, or on account of, an eligible depositor (A) the full amount of compensation payable in respect of A’s protected deposits in accordance with this Act.

  2. No other person is entitled to compensation under this Part in respect of those same protected deposits.