Philippine Deposit Insurance Corporation Act Flashcards
What is the Republic Act of PDIC?
3591
What is the three PDIC Functions?
- Deposit Insurer
- Co-regulator of banks
- Receiver and liquidator of closed banks
the PDIC shall promote and safeguard the interests of the
depositing public by way of providing permanent and continuing insurance coverage
on all insured deposits.
Deposit Insurer
as a bank regulator, the PDIC is empowered to examine
and investigate banks.
Co-regulator of Banks
the PDIC as receiver, shall control, manage, and administer the affairs of the bank
Receiver and liquidator of closed banks
What is the limit of insured deposits?
not to exceed 500
What deposits are not entitled to insurance payment?
- Investment Products
- Deposit Accounts or transactions which are unfunded and that are fictitious or fraudulent
- Deposit accounts or transactions from unsafe and unsound banking practice/s.
- Deposits from unlawful activity under RA 9160 or AMLA
- Deposits payable outside the Philippines
- Money placements by the head office of a foreign bank in its branch
- Deposit from splitting of deposit
What is the time consideration of splitting a deposit?
within 120 days after or during a bank declared holiday or after a closure order of the monetary board for the purpose of availing the maximum deposit insurance coverage
Splitting of Deposit is punishable by
- 12 or less years imprisonment
- More than 50k but less than 10M
What is the rule for determination of amount due of insurance?
Per depositor, per capacity rule
what does ITF mean?
In trust for
What does FAO mean?
For the account of
Joint accounts are insured in what way?
Separately
If joint accounts use and, or and/or does that change the treatment?
No regardless of the conjunction used it is insured separately
What should be the treatment when an accounts is owned by two or more natural persons or entities?
It is divided into as many equal shares as there are owners. Unless a percentage rate is given for each owner.
What is the treatment of joint accounts when a juridical person or entity jointly owns with a natural person
The insured deposit will belong to the juridical person or entity
An owner of a certificate of deposit shall only be recognized and entitle to the rights in PDIC act if?
The name is registered as owner in the books of the bank
What is the procedure for the PDIC?
- Determination of insured deposits due
- PDIC shall give notice to the depositors (whatever means deemed appropriate by the BOD)
- PDIC shall publish the notice
How often and where should the PDIC publish the notice?
once a week for at least 3 consecutive weeks; in a newspaper of general circulation
What are the two modes of payment that the PDIC can do?
- Through cash
- In another insured bank, a transferred deposit
What is the effect of the payment by the pdic to its insured depositors?
- All rights of the depositors against the closed bank is subrogated to the PDIC
What is the time period to settle the claim of the depositor?
6 months from the date of filing the claim
What is the punishment of failure of settling the claim of the depositor?
subject the directors, officers, and employees of the pdic to 6 months to one year of imprisonment
