At IFX Payments, we're committed to providing our clients with the best payment services and e-money services, while ensuring the highest level of protection for their funds.

How do we protect our clients’ funds?

We use a process called "safeguarding." This means that any money received from or held for a client is kept separate from IFX Payments' company funds. We do this by using the "segregation method" and depositing client money into accounts known as "safeguarding accounts" at authorised credit institutions or banks. This method ensures that client money of all values is protected.

In addition to the safeguarded accounts, we also hold segregated client accounts with other banking and payments providers. Segregated client accounts are not safeguarding accounts, and are utilised to facilitate our payments and foreign exchange services. Client funds do not remain in segregated accounts overnight; we ensure that client funds are appropriately held within our safeguarded accounts at authorised credit institutions or banks as explained above.

What happens if IFX becomes insolvent?

It's important to note that as an Electronic Money Institution (EMI), we're not covered by the Financial Services Compensation Scheme (FSCS). However, we're committed to safeguarding our clients' funds, and in the unlikely event that IFX Payments becomes insolvent, the funds held in our safeguarding accounts would be used to pay our clients' claims above those of other creditors. Rest assured that authorised credit institutions have no rights over funds in IFX Payments' safeguarding accounts.

Are my clients’ funds protected with IFX?

IFX Payments is not an authorised credit institution or a bank, and we only provide safeguarding services for our clients' funds. If you're holding your customers' funds with us, please ensure that you comply with the necessary safeguarding regulations and guidance.

For more information on Safeguarding please see Section 10 of the FCA’s Payment Services and Electronic Money approach document.

IFX Payments is an Electronic Money Institution (EMI) authorised by the Financial Conduct Authority under the Electronic Money Regulations 2011 (FRN 900517) for the issuing of electronic money.

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