Safeguarding
of funds

Safeguarding
of funds

Last updated: October 7, 2024


Safeguarding your funds – Your peace of mind


At Mimo, we take the security and protection of your funds incredibly seriously. Your electronic money, referred to as "Protected Money," is held and safeguarded in strict compliance with UK regulations and our terms and conditions. Rest assured, we prioritise the safety of your funds above all else.

Stringent Separation:

Mimo, in partnership with Modulr FS, is required by law to use a process called Safeguarding to protect customer money. This means we ensure that the funds we receive in exchange for e-money are segregated from all other funds that they hold and they cannot be used for any other purposes.
The funds we safeguard are therefore completely separate from the additional funds that Modulr holds to meet its corporate obligations and run its business.
These safeguarded funds must be held in specially designated client accounts at credit institutions (banks), the Bank of England or invested in secure, liquid assets that the FCA has approved for such purposes. 

Added Insurance Coverage:

To further safeguard your assets, we explore the possibility of additional insurance coverage. This added layer of protection ensures that your funds are shielded from any potential risks or unforeseen circumstances.

Protection from Creditor Access:

In the unfortunate event of insolvency or financial claims, your Protected Money remains insulated from any creditor access. This means your funds are safeguarded and cannot be utilised to settle any external obligations, putting your interests first.

What is the FSCS and is it applicable to Mimo & Modulr? 

The FSCS is the Financial Services Compensation Scheme, which provides consumers protection of their bank deposits up to a maximum of £85,000, or £170,000 for a joint account, in the event of a bank failure. The FSCS scheme only applies to certain institutions and does not include, EMIs such as our provider Modulr.


However, as mentioned, our safeguarding requirements mean that all customer money held at Modulr, regardless of the amount, is segregated from all other funds that they hold and cannot be used for any other purpose. So, while the FSCS does not apply to e-money, the regulatory requirements outlined above are designed to protect the balance of customer funds, as opposed to only compensating up to a maximum limit, as is the case with the FSCS.


Forward Contracts and Margin Payments: 

When you initiate a transfer for a Forward Contract deposit or Margin payment, it's essential to understand that Modulr FS owns the funds and their associated rights during this process. However, these funds do not fall under the category of Protected Money. They are utilised exclusively to fulfil payment obligations and do not enjoy the same regulatory protections or contractual safeguards.

Interest Accrual:

It's important to know that Modulr FS does not pay interest on Protected Money. Mimo may retain any interest earned on these funds to support the operational aspects of our service.

At Mimo, our commitment to safeguarding your funds is unwavering. We strive to ensure the highest level of transparency and security in all our financial operations. Your trust is paramount to us, and we remain dedicated to upholding the highest standards to protect your financial interests.


For more information about Safeguarding and how your funds are kept safe please see here



Last updated: October 7, 2024


Safeguarding your funds – Your peace of mind


At Mimo, we take the security and protection of your funds incredibly seriously. Your electronic money, referred to as "Protected Money," is held and safeguarded in strict compliance with UK regulations and our terms and conditions. Rest assured, we prioritise the safety of your funds above all else.

Stringent Separation:

Mimo, in partnership with Modulr FS, is required by law to use a process called Safeguarding to protect customer money. This means we ensure that the funds we receive in exchange for e-money are segregated from all other funds that they hold and they cannot be used for any other purposes.
The funds we safeguard are therefore completely separate from the additional funds that Modulr holds to meet its corporate obligations and run its business.
These safeguarded funds must be held in specially designated client accounts at credit institutions (banks), the Bank of England or invested in secure, liquid assets that the FCA has approved for such purposes. 

Added Insurance Coverage:

To further safeguard your assets, we explore the possibility of additional insurance coverage. This added layer of protection ensures that your funds are shielded from any potential risks or unforeseen circumstances.

Protection from Creditor Access:

In the unfortunate event of insolvency or financial claims, your Protected Money remains insulated from any creditor access. This means your funds are safeguarded and cannot be utilised to settle any external obligations, putting your interests first.

What is the FSCS and is it applicable to Mimo & Modulr? 

The FSCS is the Financial Services Compensation Scheme, which provides consumers protection of their bank deposits up to a maximum of £85,000, or £170,000 for a joint account, in the event of a bank failure. The FSCS scheme only applies to certain institutions and does not include, EMIs such as our provider Modulr.


However, as mentioned, our safeguarding requirements mean that all customer money held at Modulr, regardless of the amount, is segregated from all other funds that they hold and cannot be used for any other purpose. So, while the FSCS does not apply to e-money, the regulatory requirements outlined above are designed to protect the balance of customer funds, as opposed to only compensating up to a maximum limit, as is the case with the FSCS.


Forward Contracts and Margin Payments: 

When you initiate a transfer for a Forward Contract deposit or Margin payment, it's essential to understand that Modulr FS owns the funds and their associated rights during this process. However, these funds do not fall under the category of Protected Money. They are utilised exclusively to fulfil payment obligations and do not enjoy the same regulatory protections or contractual safeguards.

Interest Accrual:

It's important to know that Modulr FS does not pay interest on Protected Money. Mimo may retain any interest earned on these funds to support the operational aspects of our service.

At Mimo, our commitment to safeguarding your funds is unwavering. We strive to ensure the highest level of transparency and security in all our financial operations. Your trust is paramount to us, and we remain dedicated to upholding the highest standards to protect your financial interests.


For more information about Safeguarding and how your funds are kept safe please see here



Last updated: October 7, 2024


Safeguarding your funds – Your peace of mind


At Mimo, we take the security and protection of your funds incredibly seriously. Your electronic money, referred to as "Protected Money," is held and safeguarded in strict compliance with UK regulations and our terms and conditions. Rest assured, we prioritise the safety of your funds above all else.

Stringent Separation:

Mimo, in partnership with Modulr FS, is required by law to use a process called Safeguarding to protect customer money. This means we ensure that the funds we receive in exchange for e-money are segregated from all other funds that they hold and they cannot be used for any other purposes.
The funds we safeguard are therefore completely separate from the additional funds that Modulr holds to meet its corporate obligations and run its business.
These safeguarded funds must be held in specially designated client accounts at credit institutions (banks), the Bank of England or invested in secure, liquid assets that the FCA has approved for such purposes. 

Added Insurance Coverage:

To further safeguard your assets, we explore the possibility of additional insurance coverage. This added layer of protection ensures that your funds are shielded from any potential risks or unforeseen circumstances.

Protection from Creditor Access:

In the unfortunate event of insolvency or financial claims, your Protected Money remains insulated from any creditor access. This means your funds are safeguarded and cannot be utilised to settle any external obligations, putting your interests first.

What is the FSCS and is it applicable to Mimo & Modulr? 

The FSCS is the Financial Services Compensation Scheme, which provides consumers protection of their bank deposits up to a maximum of £85,000, or £170,000 for a joint account, in the event of a bank failure. The FSCS scheme only applies to certain institutions and does not include, EMIs such as our provider Modulr.


However, as mentioned, our safeguarding requirements mean that all customer money held at Modulr, regardless of the amount, is segregated from all other funds that they hold and cannot be used for any other purpose. So, while the FSCS does not apply to e-money, the regulatory requirements outlined above are designed to protect the balance of customer funds, as opposed to only compensating up to a maximum limit, as is the case with the FSCS.


Forward Contracts and Margin Payments: 

When you initiate a transfer for a Forward Contract deposit or Margin payment, it's essential to understand that Modulr FS owns the funds and their associated rights during this process. However, these funds do not fall under the category of Protected Money. They are utilised exclusively to fulfil payment obligations and do not enjoy the same regulatory protections or contractual safeguards.

Interest Accrual:

It's important to know that Modulr FS does not pay interest on Protected Money. Mimo may retain any interest earned on these funds to support the operational aspects of our service.

At Mimo, our commitment to safeguarding your funds is unwavering. We strive to ensure the highest level of transparency and security in all our financial operations. Your trust is paramount to us, and we remain dedicated to upholding the highest standards to protect your financial interests.


For more information about Safeguarding and how your funds are kept safe please see here