Hi, if I have my current account, savings pot (e.g. Investec), and business account all with Monzo am I capped at 85k FSCS protection across all of them?
I currently go pretty much all-in with Monzo, but I am trying to work out whether I’m leaving myself a bit exposed…
That’s a great question and I’d be interested to know the answer myself. I think if you are a limited company then they would be treated as a separate entity with different entitlement. But if you are a sole trader they would be considered together.
This may be the difference between a Ltd company and a sole trader, as I posted above. But what if the limited company has a single director/ or proportionally a large shareholder?
The company would still benefit from being a separate legal entity and so would be treated as its own legal person - you can “pierce” this veil but it is hard to do.
Broadly, the answer is - if you’re a limited company, you’re a separate entity that’s covered up to £85,000 in your business account alone.
If you’re a sole trader, your personal and limited accounts are jointly covered up to £85,000 - so if I have £80,000 in my business account, and £5,000 in my personal account, I’m at my maximum coverage.