Introducing Vault

May 8, 2024

We’re launching a new product we’re really excited about; it’s called “Vault”. ‍It’s designed to maximise your eligibility for FSCS protection by spreading your cash across a network of FSCS-protected partner banks. Oh, and Vault offers a competitive yield too. 

Why FSCS matters

If you’re not sure what FSCS is, it stands for the Financial Services Compensation Scheme. It's your safety net, backed by the UK government, shielding your finances in case of a financial institution's collapse with a coverage limit of £85,000 per bank.  

You can read more about the scheme here.  

Why should you care?

Small businesses in the UK typically  have FSCS coverage of £85,000 per bank. While that amount of protection might be sufficient for some, bigger businesses often have much larger amounts of cash on their books. 

Remember the collapse of Silicon Valley Bank (SVB) at the start of 2023? This highlighted the need for businesses to reassess where they park their deposits and mitigate the risk of losing access to their cash. 

We know that £85k worth of FSCS protection doesn’t go far enough for most businesses, that’s why we built Vault. 

How does it work?

Round partners with Insignis Cash to provide you access to their network of UK regulated banking institutions. 

We know how important reputation, credibility and counterparty risk is, which is why we collaborate with Insignis Cash who meticulously selects the institutions in its network. 

When you deposit into Vault, you’re in control. You’re asked to set your allocation preferences to determine how and where you want your money to be spread and Round handles the rest. 

You can select which banks to deposit with based on account type, terms and yield, tailoring your deposit strategy to suit your specific financial objectives. 

If you’re unsure how to allocate your cash, we offer a ‘quote’ service that helps you visualise how your deposit might be spread across a network of banks.

What ongoing management is required from me?

That’s up to you! You can use Vault to draw down from and manage your deposits using a single platform. No need to apply or deal with each banking institution individually. 

Most commonly, you’ll need to make a decision when a term account reaches its maturity. When this happens your principle deposit amount and accrued interest, minus fees, will be transferred back to your ‘Hub’ account. 

You’ll just need to tell us if you want to reinvest it or withdraw it to your bank. 

Want to know more?

Speak to a member of the team through this link


Who can open a Vault account?

We require appropriate verification of identity and address for personal customers. For legal entities or arrangements, we need identification and verification of beneficial owners, controlling parties, and business activities. Evidence of the source of funds and assessment of source of wealth are also necessary. Additional information or documentation may be required to meet regulatory requirements.

How is each bank selected? 

We use a third-party to power Vault. Insignis Asset Management Limited  is fully regulated and authorised by the Financial Conduct Authority under the Payment Service Regulations 2017 (813442 for the provision of payment services. Insignis Cash completes independent due diligence on their network of partner banks. 
Insignis Cash is a trading name of Insignis Asset Management Limited. 

How much does it cost?

0.25% on balances up to £499,999 and 0.20% on balances £500,000 and above. Once a customer deposits funds into their Vault account, we set aside the annual account service fee and draw down monthly payments in arrears from this fee reserve account. We charge a minimum of one quarter of the fees, after which fees are charged pro rata. While the funds are in the fee reserve, they remain in your name. There are no other fees for this service. 

Can you help me get additional FSCS protection from my current bank?

No. Each bank is limited to providing £85,000 of FSCS protection. If you’re already banking with a provider that also appears in our network it’ll be your responsibility to let us know. To maximise FSCS coverage we need to exclude your existing banks from our service. You cannot get double FSCS protection with the same banking institution, if you place deposits either directly or via Vault. 

Is my data safe?

Client data, including personal and organisational information is encrypted using proprietary encryption methods. All Personal data is encrypted when data is at rest and access is only permitted to authorised personnel. Access to the management platform is secured using Strong Customer Authentication (SCA username, password, and PIN code sent to registered mobile).

How do I withdraw my cash?

When you withdraw from one of your deposit accounts funds are placed in your “Hub” account. You can then decide to either reinvest those funds or withdraw them from the Vault. 

When you request a withdrawal from the Vault, funds will be returned to your linked bank account by the close of the next business day. Please note that you cannot break a Fixed Term Deposit before maturity.

What if something bad happens to Round?

Round acts as an introducer to Insignis Cash. In the event that something happens to Round, your deposits are unaffected. Round is not in the flow of funds. 

How do I sign up?!

Speak to a member of the team through this link

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