Trust & regulation
How the FCA’s new safeguarding rules protect your money
Since 7 May 2026, e-money and payments firms operate under the FCA’s toughest-ever safeguarding regime. Here’s what it requires, in plain English — and what it means for funds you hold with the group.
What safeguarding is
Safeguarding is the FCA requirement that e-money institutions and payment institutions keep customer funds separate from their own money — held in designated safeguarding accounts at credit institutions, or in liquid safe assets — so customer funds can be returned even if the firm fails. It is the e-money world’s answer to deposit protection: ring-fencing by rule, rather than insurance after the fact.
What changed on 7 May 2026
The FCA’s new regime replaced guidance with hard rules. Firms must now perform daily internal reconciliations of safeguarded funds, submit a monthly regulatory return, and undergo an annual safeguarding audit by a qualified auditor — with the first audits falling due within six months of the regime going live. Any safeguarding explanation written before 2026 is describing the old world; if a provider’s trust page predates May 2026, ask them why.
What it means for your funds with the group
Accounts and e-money in the group sit with an FCA-authorised EMI (mandatory safeguarding); remittance runs through an FCA-authorised PI (mandatory safeguarding). Where a Small Payment Institution is involved, safeguarding is optional by law — and our position is simple: we tell you which regime applies to your funds, plainly, before you commit. That is the whole point of regulation as a benefit.
Deeper background: what is safeguarding? · what is an EMI? · how to check any provider’s licence
Frequently asked questions
Is safeguarding as safe as a bank deposit?
It is a different protection. FSCS insures eligible bank deposits up to £85,000 after a failure; safeguarding ring-fences e-money funds continuously — reconciled daily and audited annually under the 2026 rules — so they exist to be returned in full. Neither is “better” in the abstract; we explain the difference before you commit.
Which group entities safeguard?
Remittance360 Ltd (FCA-authorised EMI, FRN 901072) and MDRN FX Services Limited (FCA-authorised PI, FRN 540997) are within the mandatory safeguarding regime. VIP Payments Ltd is an FCA-registered Small Payment Institution — SPIs are not required to safeguard but may opt in, and we will always tell you the position that applies to your funds before you commit.
What happened to the statutory trust proposal?
The FCA’s proposed end-state regime — holding safeguarded funds under a statutory trust — has been paused pending further review. The supplementary regime (CASS 15 / SUP 3A) is the law in force today.
What should I ask any provider after May 2026?
Three questions: where are safeguarded funds held, when was your last safeguarding audit, and what is your FCA firm reference number? Compliant firms answer happily; evasion is your answer too.
Check if we can help
Tell us what you need. You deal with one team, and the group’s licensed institutions sit behind it.