PDIC coverage of P500,000 to take effect when?
March 20, 2009
The minimum amount needed to invest in the Philippine National Bank (PNB)’s Long-Term Negotiable Certificate of Deposit (LTNCD) is P500,000 or around US$10,400.
According to the PNB representative I talked to, this entire amount is already covered by the Philippine Deposit Insurance Corporation (PDIC).
I thought PDIC’s insurance is, until now, only up to P250,000?
jay also commented on the PNB LTNCD article that when he called PNB, he was told the entire P500,000 minimum investment is indeed covered because the increased PDIC coverage is already “in the bag.”
To confirm, I called PDIC to ask when the increased deposit coverage would take effect. Remember that early this month, Congress already approved the bill increasing the PDIC insured deposit coverage from P250,000 to P500,000.
According to the PDIC representative I talked to, it will take effect “upon the publication of the new PDIC charter.”
“So when will this new Charter be published?” I asked.
The PDIC person: “That I don’t know.”
Apparently, the publication of the new PDIC Charter is the only thing we are all waiting for.
We hope the Filipino depositor won’t have to wait that long.
- Proposed PDIC coverage of P500k
- Explanation of the PDIC coverage
- PDIC coverage for US Dollar deposits
- Higher PDIC coverage: Good or bad?
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