September 16, 2016

The Philippine Deposit Insurance Corporation (PDIC) urged depositors of the closed Rural Bank of Caba (La Union), Inc., Peñafrancia Rural Bank of Calabanga (Camarines Sur), Inc., and Rural Bank of Villaviciosa (Abra), Inc. to file their deposit insurance claims before the expiry period. The PDIC Charter provides that depositors have until two years from bank closure to file their deposit insurance claims with the PDIC either through mail or personally during business hours at the PDIC Public Assistance Center, 3rd Floor, SSS Bldg., 6782 Ayala Avenue corner V.A. Rufino Street, Makati City. The PDIC reiterated that all valid claims will be paid.

In accordance with the provisions of the PDIC Charter, the last day for filing deposit insurance claims in the closed Rural Bank of Caba and Peñafrancia Rural Bank of Calabanga is both on December 11, 2017; and January 8, 2018 for Rural Bank of Villaviciosa. PDIC concluded the onsite claims settlement operations for these three closed banks more than six months ago.

The PDIC shall no longer accept any deposit insurance claims filed after the said dates. Depositors may, however, still file their claims against the closed banks through PDIC as liquidator. Payment of claims will depend on the sufficiency of the assets of the closed banks and shall be subject to the approval of the Liquidation Court.

Rural Bank of Caba and Peñafrancia Rural Bank of Calabanga were ordered closed by the Monetary Board (MB) and placed under PDIC receivership during the fourth quarter of 2015 while Rural Bank of Villaviciosa was placed under receivership during the first quarter of 2016.

The PDIC reported that as of June 30, 2016, it had paid PHP16.6 million for Rural Bank of Caba, PHP38.5 million for Peñafrancia Rural Bank of Calabanga, and PHP1.9 million for Rural Bank of Villaviciosa, or an aggregate of PHP57.0 million in deposit insurance claims to depositors of the three closed banks involving a total of 1,565 accounts. Estimated deposit insurance claims collectively amounting to PHP7.5 million for 589 accounts have not been filed by depositors of Rural Bank of Caba (756 accounts), Peñafrancia Rural Bank of Calabanga (671 accounts), and Rural Bank of Villaviciosa (138 accounts).

Depositors of said closed banks are advised to present the general requirements for filing deposit insurance claims, such as their original evidence of deposit and two (2) valid photo-bearing IDs with signature of the depositor, to the PDIC representatives at the Public Assistance Center. Depositors may also file their claims through mail and enclose the same set of required documents together with a duly accomplished Claim Form. The PDIC will not accept claims which are incomplete or lacking in requirements.

The PDIC also reminded depositors who have been notified of deficiencies in the documents submitted to support their deposit insurance claims to comply with the requirements to facilitate release of their claims.

In addition to the general requirements, depositors who are below 18 years old should submit either a photocopy of their Birth Certificate issued by the National Statistics Office (NSO) or a duly certified copy issued by the Local Civil Registrar. Claimants who are not the signatories in the bank records are required to submit an original copy of a notarized Special Power of Attorney of the depositor or parent of a minor depositor.

All depositors who have outstanding loans or payables to the bank have to coordinate with the duly authorized PDIC Loans Officer prior to the settlement of their deposit insurance claim.

The procedures and requirements for the filing of deposit insurance claims are posted in the PDIC website, www.pdic.gov.ph. The Claim Form and format of the Special Power of Attorney may also be downloaded from the PDIC website.

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. Depositors outside Metro Manila may call the PDIC toll free at 1-800-1-888-PDIC or 1-800-1-888-7342.

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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 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.