
Revolut is an e-money institution (EMI), and holds your money through a method known as “safeguarding”. This differs from how your money is protected by banks in the UK through the Financial Services Compensation Scheme (FSCS). It is important to know this difference.
In the UK, Revolut is not a bank but an e-money institution, authorised under the UK Electronic Money Regulations. This means, in particular, that FSCS protection (that pays out up to £85,000 normally within seven days should your bank go bust) does not apply to the e-money or payment services Revolut provide in the UK.

What is Safeguarding and how is my Revolut UK balance protected?
“Safeguarding” is a set of laws that defines how an e-money institution must protect your money. These rules are designed to ensure that if the e-money institution fails, your money will have been kept in a safe place and be paid back to you. For safeguarding to protect you, Revolut must follow these rules. That’s why you should only use an e-money institution that you trust.
To explain in more detail: once Revolut receives your money, it must either place it in a dedicated "safeguarding account" with a bank, or invest it in low risk assets that have been approved by the regulator as an alternative to cash. Sometimes, less commonly, it may protect the money with an insurance policy instead. Your money must stay in these accounts or investments until you spend it.
The protection this provides means that if Revolut fails, there should be a pot of money (the safeguarding account) sufficient to pay all customers the money they are owed. These safeguarding accounts are protected by law from other creditors of Revolut making a claim against them. The only thing that can be paid from these safeguarding accounts, before you, is the cost of the receiver (the person who’s appointed to manage the closure of a failed company).
Why is safeguarding different from the FSCS protection given by banks?
The main difference between FSCS protection and safeguarding is that FSCS protection is covered by an independent statutory organisation, while safeguarding protection is provided by Revolut, the e-money institution itself. If a FSCS protected firm were to fail, this independent organisation is legally obliged to pay back funds to eligible customers up to the maximum compensation amount (normally £85,000). This will happen whether or not the FSCS protected firm actually has that money itself. This payout will normally happen within seven working days.
If an e-money institution (like Revolut) fails, the customers’ claims will be paid from the safeguarding account. This is because the e-money institution cannot lend the money it has received from one person to another, so it should have enough money in its safeguarding accounts to cover its debts to its customers. Only if Revolut has breached its obligations, might there not be enough money in these accounts for you to be repaid your funds.
So, provided that it is compliant with the safeguarding laws, if Revolut goes out of business, you should get most, if not all, of your money back. (Although, as explained, in some instances certain costs may be taken by the receiver of the firm.) The payout could also take longer than it would with a bank.
How to make a claim if Revolut goes out of business in the UK
If Revolut goes out of business, you’ll have to contact the liquidator or administrator of the firm.
The administrator or liquidator acts on behalf of the failed firm. They’ll be responsible for distributing any money to customers.
What about my savings, stocks and crypto with Revolut?
To be clear, the safeguarding rules do not apply to money you put in your Revolut Savings Vault - that money is deposited with a third party bank which holds it on your behalf and is FSCS protected. The safeguarding rules also don't apply to cryptocurrency or commodities you purchase through the Revolut app or to any stocks you buy through their app.

IMPORTANT INFORMATION IF YOU LIVE IN THE EUROPEAN ECONOMIC AREA (EEA)
Revolut is an authorised bank in some of the regions in which it operates, including the European Economic Area (EEA). Revolut Bank UAB has a full banking license in Lithuania, which allows them to offer cross-border banking services to customers in the EEA.
Revolut is authorised by the European Central Bank and regulated by the Bank of Lithuania. All of Revolut’s European customers' funds are protected by the Lithuanian state company, Deposit and Investment Insurance.
The Lithuanian Public Institution "Deposit and Investment Insurance".
Money held in an account with Revolut in Europe is protected up to €100,000 per eligible person, so for a joint account the total amount protected would be €200,000 for all your deposits held with Revolut Bank UAB. If you have several deposits with Revolut Bank UAB the insurance coverage limit of EUR 100,000 applies to the total amount of your deposits. The EUR 100,000 limit applies individually for each depositor. The insurance is paid out within seven working days and is paid in euros.
Are there situations where more than €100,000 is payable?
Yes, an amount of more than 100,000 euros can be paid out when money has been transferred to the depositor's account no earlier than 6 months before the date of the deposit insured event on the following grounds and in the appropriate amounts:
For the sale or other transfer of ownership of a dwelling (including assigned land) owned by the depositor, but this amount may not exceed EUR 300 000;
For monetary funds inherited by the depositor under a will or under the Law, but this amount may not exceed 200,000 euros;
The monetary funds received by the depositor as a beneficiary under a life insurance contract or a contract corresponding to its substance in the event of death, but this amount may not exceed EUR 200 000;
Monetary funds received by the depositor in the cases provided for by law as a result of the death of another person in the course of his employment or official duties as compensation or a benefit corresponding to its essence, but this amount may not exceed EUR 200 000;
In the cases provided for by law, to transfer to the depositor as a payment or compensation for damage caused by violent crimes or damage caused by the actions of the pre-trial investigation officers, the prosecutor, the judge or the court, but this amount may not exceed 200,000 euros.
Changes on the Horizon for Revolut in the UK
Revolut is at the beginning of a period of "mobilization". During this mobilization, they have stated that they will complete the configuration of their banking processes in order to also start operating as a bank in the United Kingdom.
Once the setup is complete and they are ready to operate as a bank in the UK, they have said that they will advise existing customers of the next steps and the process to change their existing Revolut account into a Revolut UK bank account.
Summary
Our aim is to ensure that you are able to enjoy life while we take care of your finances, ensuring you’re set up in the most tax efficient way for your particular circumstances. If you are considering how best to set up your finances as a resident of Spain please contact us.
Speed Financial Solutions are a highly qualified and regulated financial services provider looking after clients throughout Spain and the UK. Established in 2010, we provide a discreet and comprehensive service to individuals, and our service is tailored to suit your needs taking advantage of tactical opportunities as they arise in respect of your financial planning.
Our Principal, Andrea Speed, is a qualified Discretionary Investment Manager specialising in Investment and Risk, Taxation and Trusts, and a qualified Pension Specialist. Andrea is also a Fellow of the Chartered Insurance Institute (CII), which is the world’s largest professional body for insurance and financial services in the world.
Fellowship is the highest qualification awarded by the CII (Level 7) and is universally regarded as the premier qualification. It is a major achievement in the financial industry and demonstrates the acquisition of skills and knowledge at the highest of levels. Along with a Fellowship, Andrea is a CII Chartered Financial Planner.
Please take a look at our website – www.speedfinancialsolutions.com
For further information contact us on Tel 951 315 271 or 951 318 529
We are happy to discuss your own situation in more detail. One of our advisers would be pleased to spend some time with you either in your home or at our office to review your current savings, investments and pensions, so do call to make an appointment. Our Financial Review is completely free of charge and without obligation. Follow us on Facebook for regular updates.
This communication is for information purposes only based on our understanding of current legislation and practices which is subject to change and is not intended to constitute, and should not be construed as, investment advice, investment recommendations or investment research. You should seek advice form a professional adviser before embarking on any financial planning activity. Whilst every effort has been made to ensure the information contained in this communication is correct, we are not responsible for any errors or omissions.
Andrea J Speed FPFS (DM), M.A.
Principal, Fellow and Chartered Financial Planner
Speed Financial Solutions
28 January 2025
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