Which of the following deposits are covered by the Deposit Guarantee Scheme?

• A. Bank current accounts only
• B. Credit union deposit accounts only
• C. Bank current accounts, notice deposit accounts and credit union deposit accounts
• D. Notice deposit accounts only

Answer: (C)

The Deposit Guarantee Scheme protects ordinary retail deposits held with eligible authorized deposit-taking institutions, up to the applicable cap. It covers a range of deposit types, including money in bank current (everyday transactional) accounts, deposits in notice accounts, and funds held in credit union accounts. Because the scheme applies to these different account types when they are with eligible institutions, the option that includes all three categories best matches what the scheme covers. The other choices are incomplete because they omit one or more eligible deposit types. Note that the protection is limited to deposits with authorised institutions and does not cover non-deposit investments.