Member States must ensure one or more deposit guarantee schemes (DGSs) are introduced and officially recognised within their territory; mergers or cross‑border DGSs are permitted subject to approval by the Member States where those DGSs are established. Contractual schemes and institutional protection schemes (IPS) may be recognised if they meet the Directive’s criteria. A credit institution authorised under Directive 2013/36/EU shall not take deposits unless it is a member of an officially recognised DGS. DGSs must notify designated and competent authorities where a member fails to comply; competent authorities, cooperating with designated authorities and relevant DGSs, must promptly take appropriate measures including penalties and may use supervisory powers. Late contributions attract statutory interest and, if remedial measures fail, the DGS must assess continued membership; withdrawal of authorisation ends membership but deposits on the date of cessation remain covered.

Designated authorities supervise DGSs on an ongoing basis, with cross‑border DGSs supervised by representatives of authorities of the Member States where affiliated institutions are authorised; designated authorities retain enforcement powers where a private entity administers the DGS. DGSs must ensure confidentiality and process depositor data in accordance with Directive 95/46/EC. DGSs shall perform stress tests at least every three years (first by 3 July 2017) and be informed promptly of institution problems likely to trigger intervention; EBA shall conduct peer reviews at least every five years and DGSs are subject to professional secrecy in exchanges with EBA. Stress‑test data may be used only for testing and retained no longer than necessary; DGSs must maintain sound, transparent governance, produce an annual report, and EBA shall develop stress‑test guidelines and a factual summary by 11 May 2029.