14 rural banks in the Philippines shutdown just before X'mas

Here is something worth thinking about: Is the money you've stowed away in your bank still safe?

If you're banking with a large bank (like Metro Bank, BPI, or BDO) you can assume that it will be safe for the most part. However, there are those of us who choose to use smaller banks for a number of reasons.

Read on:

With 14 banks closed, PDIC swarmed
By Doris Dumlao
Philippine Daily Inquirer
First Posted 17:54:00 12/28/2008

MANILA, Philippines - A long queue of depositors has swamped the state-owned Philippine Deposit Insurance Corp. with the shutdown of 14 ailing rural banks before the Christmas break, the insurer's top official said.

But according to PDIC president Jose Nograles, the deposit insurer has enough money to cover all valid claims, adding that they already have started servicing the claims of Rural Bank of Parañaque Inc. (RBPI).

RBPI bank was one of the first banks to be padlocked by the Bangko Sentral ng Pilipinas (the Philippine central bank) and was among those believed to be affiliated with the bankrupt Legacy investment group. It also has the biggest deposit base worth about P5.43 billion kept in over 37,000 accounts.

(read the rest of the story here)