The Philippine Deposit Insurance Corporation (PDIC) and the Land Bank of the Philippines (LBP) have partnered for the implementation of the PDIC-LandBank Visa Debit Card Project, which will provide depositors of closed banks an additional means to promptly access their deposit insurance payment from the PDIC. The joint PDIC-LBP Project is in line with the government’s thrust to promote financial inclusion and more efficient public service delivery by optimizing digital technology.
To prepare for the full implementation of the Project, PDIC President and CEO Roberto B. Tan and LBP President and CEO Lynette V. Ortiz signed the Implementing Rules and Regulations (IRR) and the Data Sharing Agreement on November 23, 2023 at the PDIC office in Makati City.
Under the Project, LBP shall issue its Visa Debit Card to eligible depositors who are covered by the outright payment of deposit insurance, or those who are no longer required to filedeposit insurance claims. These include individual depositors with valid deposit balances of P100,000 and below who have no outstanding loans with the closed bank and have complete mailing addresses in the bank records or have updated this information through the PDIC Mailing Address Update Form (MAUF).
The PDIC-LBP Project also supports the Government’s thrust for financial inclusion by enabling the affected depositors to remain banked and protected within the financial system through their LBP account opened through the LandBank Visa Debit Card.
The PDIC and LBP have been partners for the prompt reimbursement of deposit insurance payments since 2001. Agreements under this partnership have undergone enhancements over the years to provide more secured and convenient payment options to depositors of closed banks.
The PDIC is the state deposit insurer mandated to protect depositors through deposit insurance of up to P500,000 per depositor, per bank. Banks ordered closed by the Monetary Board of the Bangko Sentral ng Pilipinas are placed under PDIC receivership and their depositors paid up to the maximum coverage.
The Philippine Deposit Insurance Corporation (PDIC) was established on June 22, 1963, by Republic Act No. 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 of 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.