After learning WHO IS ENTITLED TO THE INSURED DEPOSIT, read also: PAYMENT OF INSURED DEPOSITS
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The registered owner/holder of a deposit is entitled to deposit insurance
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In case of deposit splitting, the transferor is generally recognized as the one entitled to deposit insurance
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A transferee may be entitled to deposit insurance
May a transferee file a claim on the insured deposit?
Payment of insured deposits shall be made whenever an insured bank has been closed or upon expiration or revocation of a its corporate term.
Before answering the query above, a question “Who is entitled to the insured deposit?” must first be answered.
The law says:
The insured deposit is due to any bona fide depositor for legitimate deposits in an insured bank as of the date of its closure. Do note that a bona fide depositor refers to any person or entity (such as corporation) who/which is the owner of the deposit as determined by the Philippine Deposit Insurance Corporation (PDIC). Also, a deposit is legitimate if it is received by a bank as deposits in the usual course of business and recorded in the books of the bank as such, and opened in accordance with the established forms and requirements of the Bangko Sentral ng Pilipinas (BSP) and or the PDIC.
In another instance, in case the records of the bank show that one or several deposit accounts in the name of one or several other persons or entities are maintained in the same right and capacity for the benefit of the depositor, the PDIC shall recognize said depositor as the beneficial owner of the account/s entitled to deposit. This was illustrated in the case of Philippine Deposit Insurance Corporation vs. Manu Gidwani, G.R. No. 234616, June 20, 2018 which was also discussed in our article on insured deposits.
Furthermore, in case of deposit splitting where a deposit account with an outstanding balance of more than P500,000.00 is broken up and transferred to one or more accounts, PDIC shall recognize the transferor as the beneficial owner of the resulting deposit accounts entitled to deposit insurance unless the transferee can prove otherwise or he or she is a qualified relative of the transferor.
Moreover, for deposit accounts and deposit transfers made in favor of individuals or of entities from an account in the name of an entity such as a corporation, the PDIC shall recognize the beneficial ownership of the resulting deposit accounts in favor of the transferee if the transfer or break up is made with all of the following conditions present:
- The deposit transfer is for a valid consideration;
- The details for the transfer are contained in any of the Deposit Account Records of the bank; and
- Copies of documents, which show details or information for the transfer, are in the custody or possession of the bank upon takeover by the PDIC
Thus, as a response to the first query above, yes, a transferee may file a claim on the insured deposit.
Alburo Alburo and Associates Law Offices specializes in business law and labor law consulting. For inquiries, you may reach us at info@alburolaw.com, or dial us at (02)7745-4391/0917-5772207.
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