'Last chance' for Icesave claims

Icesave was a victim of the global financial crisis

Savers in the UK affected by the collapse of Icesave have a final opportunity to claim compensation for any deposits they had in the bank.

Icesave - the internet arm of Icelandic bank Landsbanki - collapsed in October 2008.

No UK savers should lose any money after the UK government stepped in to guarantee their funds.

But just under 1,600 savers have yet to make their claim for this compensation and must do so immediately or lose out.

Deadline alert

The Financial Services Compensation Scheme (FSCS) is dealing with all the claims and is submitting the final request to the Icelandic authorities by 30 October.

The majority of those UK savers yet to claim compensation had very small deposits with Icesave, often less than £20.

A spokeswoman for the FSCS said that many of these had probably decided not to bother taking up their entitlement.

The organisation has also written to a number of existing claimants whose claims have yet to be paid requesting a power of attorney from the account holder.

It said that this would make processing their claim easier and faster, but replies to these letters also need to arrive at the FSCS by the same cut off date at the end of October.

About 400,000 savers were affected when Icesave owner Landsbanki collapsed.

On Sunday, the Icelandic government said it had come to a new agreement with the governments of the Netherlands and the UK over the repaying of the $5bn (£3bn) that these governments had paid out to savers.