For credit institutions

Pursuant to Section 1 EinSiG, CRR credit institutions referred to in Section 1(3d) sentence 1 of the German Banking Act (Kreditwesengesetz, KWG) are required to secure their deposits within the framework of the provisions of the Act through assignment to a compensation scheme. Furthermore, CRR credit institutions that, in addition to deposit business, also conduct securities business within the meaning of Section 1(1a) sentence 2 nos. 1 to 4 letters a to c of the KWG, must secure their liabilities from securities transactions in accordance with Section 5(2) EinSiG in conjunction with Sections 3-5 AnlEntG.

For CRR credit institutions, the tasks and powers of the statutory compensation scheme have been transferred to the EdB by means of a statutory order issued by the Federal Ministry of Finance.

Upon being granted authorisation to conduct banking business, credit institutions are assigned to the EdB by the Federal Financial Supervisory Authority (BaFin).

A credit institution remains assigned to the EdB for as long as it has a banking licence. A credit institution ceases to be assigned to the EdB when it no longer holds any customer deposits.