The Philippine Deposit Insurance Corporation (PDIC) announced that it will start mailing the payments for all valid deposit accounts with balances of P15,000 and below maintained with the closed Capitol City Bank on February 8, 2013, two weeks after the bank’s closure on January 25, 2013.

The payments, to be dispatched by registered mail through the Philippine Postal Corporation, will be in the form of postal money orders. These may be encashed either with the local postal office or with the nearest branch of the Land Bank of the Philippines.

According to the PDIC, postal money order payments will be made to 5,177 accounts or 78% of the total 6,625 accounts maintained with Capitol City Bank.

Under this automatic payment scheme, depositors who have deposits with balances of P15,000 and below, who have no outstanding loans or obligations with Capitol City Bank; and who have complete and updated addresses in the bank’s records or have updated their addresses through the PDIC Mailing Address Update Forms are not required to file their deposit insurance claims. The waiver of the requisite filing of claim is aimed at providing convenience to small depositors. It is also a means to protect and service small depositors by providing them immediate access to their deposits.

The PDIC also announced that it will start receiving and servicing deposit insurance claims for all deposits with balances over P15,000 maintained with Capitol City Bank on February 12 to 15, or 19 days after the bank’s closure. Servicing of claims for accounts maintained at the bank’s Head Office and General Trias branch will be conducted at the Head Office located along Governor’s Drive, Trece Martires City, Cavite from February 12 to 15, 2013. Claims settlement for depositors of the bank’s Alabang branch located in Muntinlupa City will be from February 12 to 14, 2013.

Details of the claims settlement operations as well as requirements for the filing claims may be accessed at the PDIC website, www.pdic.gov.ph. For more information, depositors may contact the Public Assistance Department at telephone numbers (02) 841-4630 to 31, or e-mail at pad@pdic.gov.ph.

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The Philippine Deposit Insurance Corporation (PDIC) was established on June 22, 1963 by Republic Act 3591 to provide depositor protection and help maintain stability in the financial system by providing permanent and continuing deposit insurance. Effective June 1, 2009, the maximum deposit insurance coverage is P500,000 per depositor. All deposit accounts by a depositor in a closed bank maintained in the same right and capacity shall be added together. A joint account shall be insured separately from any individually-owned deposit account.

PDIC news/press releases and other information are available at the website, www.pdic.gov.ph.