THE NEW EU DIRECTIVE (2014/49/EU) ON DEPOSIT GUARANTEE SCHEMES

THE NEW EU DIRECTIVE (2014/49/EU) ON DEPOSIT GUARANTEE SCHEMES

• the terms and conditions of credit institutions’ membership in DGSs, as

well as the cooperation requirements for DGSs, and

• the main rules on depositor information by credit institutions.

(4) Section D examines the arrangements for the financing of DGSs, with

a detailed presentation, in two (2) sub-sections, of the provisions pertaining

to:

• the DGSs’ funds, called ‘available financial means’ and the different

uses of these means, and

• the sources of DGSs’ financing and the rules on the calculation of credit

institutions’ contributions to DGSs.

(5) Section E details the rules on the repayment of covered deposits. This

Section examines in five (5) sub-sections:

• the extent of deposit coverage (eligible and non-eligible deposits, cov-

erage level),

• the provisions of the Bank Recovery and Resolution Directive on the

protection of covered deposits in the case of a credit institution’s resolution,

• the determination of the repayable amount (with reference to joint ac-

counts and the set-off of deposits with liabilities),

• the repayment procedure, and

• depositors’ and DGSs’ claims arising in the context of deposit guaran-

tee.

(6) Finally, Section F contains the concluding remarks, outlining the ele-

ments of continuity and change in relation to Directive 94/19/EC and includ-

ing an assessment of the new provisions.

The author wishes to thank Lecturer Dr. Christina Livada, Georgia Ka-

rageorgi, Nikos Moussas, his doctoral students Nikos Maragopoulos and

Dimitri Vololinis, Dr. Anna Vasila and Irini Parasyri for valuable comments

and suggestions. Warm thanks also to PhD candidate Katerina Lagaria for

the outstanding editing of the text.

Agia Marina, September 2014