When a deposit bank becomes permanently insolvent, the Financial Stability Authority must, within 5 working days, come to a decision jointly with the Financial Supervisory Authority and the Bank of Finland on the Deposit Guarantee Fund's possible liability to the bank's customers.

In the event that a depositor is entitled to compensation, the Deposit Guarantee Fund provides depositors with more detailed information on how they can receive compensation. The depositor is not required to contact the Deposit Guarantee Fund, unless the Fund specifically requests additional information. If compensation must be paid, the bank submits to the Deposit Guarantee Fund information on the depositor and the amount of deposits. As a rule, the Fund pays the compensation in the form of a credit transfer or payment order.

Compensation must be paid to the depositors out of the Deposit Guarantee Fund  within 20 working days from the decision of the Financial Stability Authority on the commencement of payment liability. Commencement of payments can be delayed for three months  if:

  • the depositor's entitlement to compensation is unclear
  • the depositor's entitlement to use the deposit has been restricted by a decision of an authority
  • the deposit account has not been used for 24 months
  • the depositor's claim is based on the sale of a residence
  • the deposit concerned was made in a foreign branch of a Finnish bank.

The depositor may receive compensation up to EUR 1,000 within twelve business days of the decision of the Fund's liability, In this case, the depositor must seek compensation from the Deposit Guarantee Fund and, in order to receive compensation, to present sufficient justification related to their personal finances. In the event of a compensation case, the Deposit Guarantee Fund will issue more detailed information on the content of the application and justifications.


If the claim of a depositor is based on the sale of a residence and exceeds EUR 100,000, the claim is paid in full if the depositor can reliably verify that the claim is based on assets which the depositor has received from the sale of a residence in his own use and that the assets are intended to be used to acquire a new residence for the depositor's own use. This special protection of assets obtained from the sale of a residence is valid for a fixed-term of six months after the assets have been deposited. The depositor must separately claim compensation for assets obtained from the sale of a residence from the Deposit Guarantee Fund. The claim must be made in writing, and must include such clarification as described above. If necessary, the Financial Stability Authority will advise the depositor regarding the clarification.