LemFi Instant Access Savings Account

The LemFi Instant Access Savings Account is offered in partnership with ClearBank, a U.K.-regulated institution authorised by the Prudential Regulation Authority (PRA) and supervised by both the PRA and the Financial Conduct Authority (FCA).

While ClearBank is responsible for safeguarding and holding customer funds, LemFi provides the day-to-day servicing through its platform. This means LemFi functions as the primary touchpoint for customer queries, while the underlying account infrastructure, custody, and regulatory compliance remain with ClearBank.

Deposits held with ClearBank are eligible for protection under the Financial Services Compensation Scheme (FSCS), offering coverage up to £85,000 per eligible customer. Importantly, this limit applies to the total combined balance of all ClearBank-powered accounts in a customer’s name. If a user holds multiple accounts through ClearBank — including various LemFi products — the aggregate balance is considered for FSCS protection. Amounts exceeding the £85,000 threshold may not be covered, except under narrow, exceptional circumstances.

How This Impacts Consumers and the Market

The integration of ClearBank’s regulated infrastructure with LemFi’s user-facing interface marks a continued shift in how fintech platforms structure deposit products. For consumers, the biggest advantage lies in enhanced safety: FSCS coverage offers strong reassurance for depositors during a period of rising economic uncertainty and market volatility.

However, the arrangement also introduces a layer of complexity. Because FSCS coverage is shared across all ClearBank-held deposits, customers using multiple products — especially across different fintech apps powered by ClearBank — may inadvertently exceed the protection limit without realising it. This makes transparency and consumer education crucial, particularly for users who hold sizable balances or who engage with several fintech platforms simultaneously.

From a market perspective, LemFi’s partnership with ClearBank reinforces the broader fintech trend of outsourcing core banking functions to specialised banking-as-a-service (BaaS) providers. This model allows fintechs to scale quickly without taking on full banking risk. At the same time, it places more responsibility on consumers to understand where their money is actually held and how deposit protection rules apply.

As regulatory pressure intensifies across the BaaS ecosystem, this type of arrangement could influence how future fintech–bank partnerships are governed, with a stronger emphasis on risk disclosure, consumer clarity, and FSCS awareness. For competitive players, this creates both an opportunity — faster product rollout — and a challenge: they must invest more in compliance-grade communication to maintain consumer trust.

BaaSBanking-as-a-ServiceClearBankconsumer protectionDeposit ProtectionDigital Bankingfinancial regulationfintech newsfintech partnershipsFSCSLemFiSavings AccountsTheFinRateUK Banking