Deposit Guarantee Scheme

The Deposit Guarantee Scheme is a program that protects bank customers by ensuring their deposits are safe if a bank fails. Typically, it guarantees a certain amount of money (such as up to €100,000) per depositor per bank, providing peace of mind that their savings are secure even if the bank encounters financial trouble. This scheme helps maintain trust in the banking system and stabilizes the economy by preventing bank runs—when many customers rush to withdraw their money at once. It’s a key safeguard, ensuring individuals’ savings are protected up to the scheme’s insured limit.