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Financial Claims Scheme glossary

Account holder

Under the Financial Claims Scheme (FCS) an account holder can be:

  • an individual
  • a body corporate (including companies)
  • a body politic
  • a partnership
  • any other unincorporated association or body of persons
  • the trustee(s) of a trust
  • the trustee(s) of a superannuation fund (including a self-managed superannuation fund)
  • the trustee(s) of an approved deposit fund.

A group of individual trustees of a trust, superannuation fund or approved deposit fund are treated as a single account holder.  An account holder must also have an account at a bank, building society or credit union covered under the FCS. 


Authorised deposit-taking institutions – banks, building societies and credit unions authorised by APRA to conduct banking business in Australia.


Australian Prudential Regulation Authority


A person or institution making a claim against an insurance policy.


A person or institution to whom money is owed.


Money held in an account in a bank, building society or credit union.


A person or institution that places money in a bank, building society or credit union. Also known as an account holder.


A 'failed' institution is one that is unable to, or may become unable to, meet its financial obligations.


Financial Claims Scheme

Incorporated in Australia

Legally formed and established in Australia.


Fee or tax


The process of winding up a company by selling its assets and using the proceeds of the sale to pay its debts, in full or in part.


A contract that contains terms and conditions of a particular insurance cover (home, contents, car, etc.).


A person or institution with an insurance policy.


The price charged by an insurer for an insurance policy.

Unexpired premiums

An amount paid in advance for, but yet to be earned against, in an insurance policy.

Unsecured creditors

A creditor who does not hold assets as collateral, which are used to guarantee the payment of a debt.

Wind up

The liquidation of a company.