National Savings and Investments t/a NS&I (NS&I) stated that the claim on the website that they were 100% secure referred to the fact that they would always be able to repay a customer's investment in full without any interest no matter how much that customer had invested because, unlike other commercial banks and financial service providers, they were not limited to the guarantee offered by the Financial Service Compensation Scheme (FSCS) but were backed by HM Treasury. They stated that NS&I were an agency of HM Treasury which was part of the UK Government. They said the UK Government had historically never defaulted on a loan payment and had always held their triple A rating. They further explained that the UK Government would also continue to have tax raising powers and their products were therefore 100% secure.

They stated that between December 2010 and November 2011, 64% of fraud cases did not result in a reinstatement but explained that fraud cases were frequently opened by NS&I because of suspicious transactions that were later found to be genuine or where allegations of fraud were later found to be unsubstantiated. They explained that NS&I had an obligation to its customers and their tax payers to ensure that they re-instated every fraud case where a customer had been a victim, but also to ensure the claim was valid and where appropriate and possible, losses were recovered and police investigations were carried out. They stated that the majority of fraud was down to customer negligence such as accidentally or inadvertently making their holding details known to someone else, or a forged signature, but that they would not be aware of this unless someone reported it and that it was not internal fraud or the lack of control or processes on their part. They stated that NS&I had in place numerous online security measures and a rigorous authentication procedure, in common with other financial service providers, especially for their products that could be managed online. They explained that this included a unique account holding number, a unique NS&I number, a password and an answer to a unique question selected by the customer. They explained that this process was secure providing the individual kept the information to themselves.

They stated that they were continually reviewing their processes and procedures to ensure that they did all they could to protect their customer's investments and this was reflected in the year on year reduction in actual net fraud losses for the period in question. They supplied details of the specific amounts of loss through fraud over a two-year period which demonstrated a 50% year on year reduction in the amount of money lost through of fraud.