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Depositor
Compensation
Scheme

Frequently asked questions

  • On 1 July 2025, the Reserve Bank of New Zealand (RBNZ) implemented the Depositor Compensation Scheme (DCS and the Scheme).
  • The Scheme provides protection of up to $100,000 of deposited funds per depositor in DCS-protected accounts (including transaction accounts, savings accounts, notice saver accounts, term deposits).
  • The Scheme was introduced under the Deposit Takers Act 2023 and brings New Zealand in line with other parts of the world offering similar protection to depositors.
  • The Scheme is funded and set up by banks and other deposit takers and if the Scheme is activated, it will be administered by the RBNZ.
You don’t need to take any action for your Heartland Bank deposit/s to qualify for protection – protection applies automatically from 1 July 2025 when the Scheme takes effect. However, updating your contact information with us or other deposit takers where you hold accounts, would be helpful.
Individuals and organisations (such as companies, partnerships and trusts) who hold, or have their money held in DCS-protected accounts (described further below), qualify for protection under the DCS. Please note that a small number of depositors, such as government agencies, are not eligible under the Scheme. For more details on the Deposit Takers Act, visit legislation.govt.nz.

Up to $100,000 per depositor across DCS-protected accounts (described further below).

Your protection under the DCS is based on your total funds with Heartland Bank. This means you are protected up to a maximum of $100,000, regardless of how many accounts or deposits you have with us.

The DCS covers various account types, including transactional accounts, savings accounts, notice saver accounts and term deposits.

Our Portfolio Investment Entity (PIE) deposits are also covered. We have a full list of products that are covered by the Scheme available on our website.

Investment products such as KiwiSaver, managed funds, and bonds are not covered.
The Scheme will be activated in the unlikely event that a bank or deposit taker fails, for example, by going into liquidation. Banks already have significant controls in place to prevent this from happening - this is an extra layer of protection for customers, that brings New Zealand’s financial system into line with other countries.
In 2017 the Government commenced a review of financial services law and as part of that work recommended the Deposit Takers Act, which established the Scheme. While New Zealand banks have significant controls in place to prevent them from failing, the DCS provides an additional layer of protection for Kiwis.
You can explore scenarios and learn more about the DCS on the Reserve Bank's website.

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