Who we are

Our promise of protection

Your money is safe with the Compensation Scheme of German Private Banks (EdB) – even if your bank gets into financial difficulties. Your deposits are protected up to 100,000 euros per person and bank.

When a compensation event occurs, the EdB, as the statutory deposit protection scheme, makes sure you get your money back quickly and without any fuss. This guarantee applies to all banks in Germany assigned to the EdB. 

Legal basis 

The EdB has an important task: It provides statutory deposit protection and compensates the customers of private banks in Germany. They have been given this responsibility by the Federal Ministry of Finance.

The work of the EdB is closely monitored. The Federal Financial Supervisory Authority (BaFin) supervises the EdB, and the Federal Audit Office (BRH) regularly carries out audits of activities.

Several laws and regulations form the legal basis for the work of the EdB, including

• the European Directive on deposit guarantee schemes (Directive 2014/49/EU) 
• the European Directive on investor-compensation schemes (Directive 97/9/EC)

transposed into German law through

• the Deposit Guarantee Act (Einlagensicherungsgesetz, EinSiG) and
• the Investor Compensation Act (Anlagenentschädigungsgesetz, AnlEntG)

In addition, the Compensation Scheme Financing Regulation (EntschFinV) governs the financing of the EdB.

How we are financed?

Every bank assigned to the EdB pays a regular contribution. This contribution amount is largely determined by the total amount of customer deposits held at the bank.

In the event of a bank failure, the EdB quickly compensates affected customers by using these contributions. The EdB has also built up reserves over the years, which it can utilise in an emergency. The amount of contributions and reserves is governed by legal stipulations, ensuring that sufficient funds are always available.

Memberships

The EdB plays an active role in international bodies to deepen cooperation between deposit protection schemes and to promote the exchange of ideas.

As a founding member of the European Forum of Deposit Insurers (EFDI), the EdB has worked closely with its European partner organisations for many years. This network provides a platform to share experiences, clarify regulatory issues and develop joint approaches to deposit protection, investor compensation and crisis  management.

At the global level, the EdB is a member of the International Association of Deposit Insurers (IADI). This organisation is the leader in developing international standards, particularly the Core Principles of Effective Deposit Insurance Systems. These principles strengthen deposit protection in Germany and around the world. The EdB thereby contributes to promoting best practices and ensuring confidence in the stability of financial systems internationally.