Retail Deposit Guarantee SchemeGuarantees

Page updated 2 Sep 2010

Information on the Crown guarantee of retail deposits held in approved institutions (banks, non-bank deposit-taking entities and collective investment schemes) and details of approved institutions whose participation in the scheme has been announced.

Repayment of All Depositors

Crown secures position in South Canterbury receivership and moves to repay all depositors of defaulting guaranteed companies

The Crown is facilitating repayment of all of South Canterbury Finance’s prior-ranking debts along with all debt-security holders in order to put itself first in line to be repaid by the company’s receivers, behind those protected by statute.  The Treasury is currently working through the details and will provide more information as soon as possible on: Claims or Repayment Process. See the media statement: Crown secures position in South Canterbury receivership and moves to repay all depositors of defaulting guaranteed companies (31 August 2010).

All South Canterbury Finance depositors to be repaid under Crown guarantee

All depositors on South Canterbury Finance Ltd’s register of debt securities will be repaid by the Crown, Acting Secretary to The Treasury Gabriel Makhlouf said today. See the media statement: All South Canterbury Finance depositors to be repaid under Crown guarantee (31 August 2010).

Allied Nationwide Finance depositors covered by Crown guarantee

All eligible Allied Nationwide Finance depositors will get the money they are entitled to under the Crown retail deposit guarantee scheme.

See the media statement: Allied Nationwide Finance depositors covered by Crown guarantee (20 August 2010).

Notice of Nomination

The Crown has issued two written notices relating to Crown Deeds of Guarantee. One notice nominates executors/trustees of deceased estates as Creditors for the purposes of Crown Deeds of Guarantee, where the criteria set out in the notice of nomination are met. The other notice nominates trustees as Creditors for the purposes of Crown Deeds of Guarantee, where the criteria set out in the notice of nomination are met.

Good progress on Crown guarantee repayments to depositors

The Treasury is making good progress with repayments to eligible depositors of Crown guaranteed companies that have defaulted, paying $79.1 million of principal and interest to date.

See the media statement: Good progress on Crown guarantee repayments to depositors (19 July 2010).

Crown's guarantee scheme covers Mutual Finance depositors

All eligible Mutual Finance depositors will get the money they are entitled to under the Crown retail deposit guarantee scheme.

See the media statement: Crown's guarantee scheme covers Mutual Finance depositors (14 July 2010).

South Canterbury Finance Depositors still covered by Crown Retail Deposit Guarantee

All eligible South Canterbury Finance Ltd depositors remain covered by the Crown Retail Deposit Guarantee, Treasury Director of Financial Operations Dr Brian McCulloch has confirmed.

See the media statement: South Canterbury Finance Depositors still covered by Crown Retail Deposit Guarantee (20 June 2010).

Crown's guarantee scheme covers Viaduct Capital Limited depositors

All eligible Viaduct Capital Limited depositors will get the money they are entitled to under the Crown retail deposit guarantee scheme, Treasury Director of Financial Operations Dr Brian McCulloch has confirmed.

Read the media statement: Crown's guarantee scheme covers Viaduct Capital Limited depositors (14 May 2010).

Crown's guarantee scheme covers Rockforte Finance depositors

All eligible Rockforte Finance Limited depositors will get 100 per cent of the money they are entitled to under the Crown retail deposit guarantee scheme.

Read the media statement: Crown's guarantee scheme covers Rockforte Finance depositors (10 May 2010).

Crown withdraws guarantee from FAI Money Limited

Read the media statement: Crown withdraws guarantee from FAI Money Limited (10 May 2010).

Retail Deposit Guarantee Scheme continues as Wholesale Guarantee Facility closes

The New Zealand Wholesale Guarantee Facility closed today, while the separate Retail Deposit Guarantee Scheme continues to operate.

Read the media statement: Retail Deposit Guarantee Scheme continues as Wholesale Guarantee Facility closes (30 April 2010).

Vision Securities depositors covered by Crown’s guarantee scheme

All eligible Vision Securities Limited depositors will get 100 per cent of the money they are entitled to under the Crown retail deposit guarantee scheme. See: Claims Process - Vision Securities Limited (1 April 2010).

Institutions Approved for the Extended Retail Deposit Guarantee Scheme

The government announced on 25 August 2009 that it will extend the Retail Deposit Guarantee Scheme to 31 December 2011 and change some of its terms and conditions. The current scheme ends on 12 October 2010. See Extension after 12 October 2010 for the list of institutions approved, so far, for the extended Retail Deposit Guarantee Scheme.

Revised Guarantee Deeds

The Treasury announced on 18 November 2009 that it will make the Retail Deposit Guarantee Scheme more flexible by withdrawing existing deeds and replacing them with revised guarantee deeds for the current scheme. The replacement deeds take effect from 1 January 2010. Questions and Answers for depositors and investors have been updated.

See the related media statements:

• Six institutions opt out of Retail Deposit Guarantee Scheme (24 December 2009)
• Retail Deposit Guarantee Scheme deeds replaced (18 December 2009)
• Flexibility Being Introduced to Retail Deposit Guarantee Scheme (18 November 2009)

Notice of Nomination - Executors/Administrators of Deceased Estates

The Crown has issued a written notice that nominates executors or administrators of a deceased estate who would not otherwise be a Creditor as a "Nominated Beneficiary" for the purposes of each current Crown Deed of Guarantee, where the criteria set out in the notice of nomination are met.

Strata Finance Limited

Strata Finance Limited failed to pay one of its depositors on the maturity date of that deposit (16 April 2009). That constituted a default event under the Crown Deed of Guarantee between the Crown and Strata Finance Limited.

See the media statement by the Treasury: Strata Finance customers covered by deposit guarantee scheme (24 April 2009).

Viaduct Capital Limited

See the media statement: Crown's guarantee scheme covers Viaduct Capital Limited depositors (14 May 2010).

See the media statement by the Treasury: Crown withdraws guarantee from Viaduct Capital Limited (20 April 2009).

Mascot Finance Limited

Mascot Finance Limited was placed under receivership on 2 March 2009. It is the first financial institution approved under the deposit guarantee scheme to have triggered the guarantee since the scheme was established in October 2008. The Treasury has published information about the Claims Process for depositors.

Applications by Institutions

Institutions potentially eligible can access application documents for banks and non-bank deposit takers and for collective investment schemes on this page. Additional information may be required by the Crown in relation to any application.

Approved Institutions

See the List of Approved Institutions for an alphabetical list of ALL institutions that are participating, or have particpated, in the scheme and access to documents relating to their participation in the scheme.

Documents

Contacts for Enquiries