The Reliable Protection for Your Hard-Earned Bank Deposit

As the Philippine economy and financial system continued to grow and evolve, so did PDIC’s deposit insurance coverage. Initially at P10,000 in 1963, the MDIC was increased five times in the last 60 years up to P500,000 per depositor, per bank since 2009. The PDIC Charter was also amended several times in the last 60 years, the most recent of which was two years ago in 2022 to reinforce the role of deposit insurance as a financial safety net.

PDIC is a strategic player in supporting the stability of the financial system by building public confidence in banking institutions. As it performs its role as deposit insurer, the PDIC contributes to promoting a resilient financial sector and a robust economy.

To this end, the PDIC is poised to draw up responsive measures to implement the key amendments to its Charter including studies to review the MDIC based on inflation and other economic indicators, to establish a risk-based assessment scheme to promote governance and market discipline; and to formulate a separate Islamic deposit insurance system to cover certain products and arrangements in Islamic banks deemed as deposits by the BSP.

Deposit insurance is an important pillar of public trust and confidence, and it is most effective when it stands alongside other pillars of security for a sound and stable financial sector. As the banking landscape evolves, continued revisiting and enhancements to the Philippine deposit insurance system are crucial to ensure this pillar of stability remains relevant and responsive to the needs of the depositing public.

Fifteen years later, Aivie and her family have not just picked up the pieces from Ondoy – they are thriving. With the lessons learned from 2009’s infamous disaster, they were able to invest in assets that generate passive income to supplement their work earnings.

We can all learn from their story of preparation and resilience that the best time to start saving up is neither yesterday nor tomorrow but today. And the best way to do this is to save in banks to ensure our hard-earned savings are protected by the PDIC’s deposit insurance.

Note: To know more about deposit insurance, download PDIC’s brochure, Understanding Deposit Insurance (available in English, Filipino, Cebuano, and Ilocano) at pdic.gov.ph/pdicbrochures or by watching PDIC’s Deposit Insurance: Mga Dapat Alamin animated explainer video on YouTube at bit.ly/pdic-ev1-deposit-insurance. You can also use the QR codes below to access the brochure and the explainer video.