Modulr further information

Modulr are an authorised electronic money institution that is regulated by the Financial Conduct Authority (FCA) in the UK.

Is Modulr regulated?

Modulr is an Electronic Money Institution (EMI),  regulated by the Financial Conduct Authority (FCA). Their firm reference number is 900573 (more information here).

How is Modulr different from a bank?

As Modulr is not a bank, it cannot provide bank accounts. Modulr can’t lend money or use money which it holds for the purposes of lending that money to others. Instead, Modulr provides payment accounts. GetGround will provide you with access to our technology, including our connectivity to various Payment Methods so that Modulr can then provide its electronic accounts and payment services to you.

As the Modulr Payment Account is not a bank account:

• Funds in the account will not earn any interest.
• Funds in the account will not be protected by the Financial Services Compensation Scheme (FSCS), as the FSCS applies only to banks.

How does Modulr protect my money?

Modulr, as an EMI, is required by law to ensure that your money is protected. This protection is called safeguarding. This means that all the money which you send to your Modulr Payment Account must be protected by Modulr. Modulr does this by opening a separate bank account for its customers with a safeguarding partner in accordance with the relevant law. This bank account will be separate from Modulr’s own funds and will have the same amount of money in it that you have put into the Modulr Payment Account.

For example, if £1 is sent to your Modulr Payment Account, Modulr will put £1 into a separate bank account with its safeguarding partner. 

How are my funds protected if Modulr becomes insolvent? 

In the unlikely event that Modulr becomes insolvent, your funds are separate from the funds of Modulr and therefore the credits of Modulr (other third parties that are owed money from Modulr) are not able to make a claim or have any effect on your funds. 

If Modulr is unable to pay its debts and is required to close its business:

• An independent insolvency professional will be appointed to return your funds to you; and
• The funds in your Modulr Payment Account will be separate from Modulr’s own funds. 

Therefore, if Modulr owes money to other companies, your funds will not be used to pay this off. However, if Modulr does not have sufficient money to pay for the costs of the insolvency practitioner then their costs may be taken from your funds before your funds are returned to you. 

What happens if GetGround ceases trading?

You will always have access to the funds within your Modulr account, even if GetGround ceases trading. This is because we require you to agree to the Modulr Terms and Conditions when setting up a Financial Account with us. In the event that GetGround ceases trading, you will be able to access your funds directly through Modulr, with whom you have a direct agreement.