BSP shuts down Bulacan-based rural bank

Posted at 05/24/13 3:21 PM

MANILA, Philippines - A Bulacan-based rural bank with 18 branches has been placed under the receivership of the Philippine Deposit Insurance Corporation (PDIC).

In an order dated May 23, the Monetary Board placed the Cooperative Rural Bank of Bulacan under PDIC receivership. PDIC took over the bank on Friday (May 24). 

The Cooperative Rural Bank of Bulacan's head office is located in Plaridel, Bulacan and has 18 branches in Bulacan, Pangasinan, Rizal, Laguna and Makati. 

Thirteen branches are found in Bulacan (Angat, Balagtas, Baliuag, Bocaue, Bulacan, Malolos, Malolos-Cabanas, Meycauayan, Paombong, Pulilan, San Jose del Monte City, San Miguel and Sta. Maria). 

It has one branch each in Urdaneta (Pangasinan), Cainta (Rizal), Sta. Rosa (Laguna) and Makati (a microfinance-oriented branch). 

However, the PDIC noted that nearly all of the deposit accounts are below P500,000, which means these are fully covered by deposit insurance. Around 99.5% or 44,166 deposit accounts have balances of P500,000 or less.

Records show as of March 31, 2013, the bank had 44,388 accounts with total deposit liabilities of P2.17 billion. Total insured deposits amounted to P1.79 billion or 82.4% of the total deposits.

PDIC said that upon takeover, all bank records shall be gathered, verified and validated. 

The PDIC assured depositors that all valid deposits shall be paid up to the maximum deposit insurance coverage of P500,000.00.

Depositors-Borrowers Forums will be held from May 30, 2013 to June 5, 2013 to inform depositors of the requirements and procedures for filing deposit insurance claims. Claim forms will be distributed during the forum. 

The schedule and venue of the Forum will be posted in the bank premises and in the PDIC website, www.pdic.gov.ph .  The claim forms and the requirements and procedures for filing are also available for downloading from the PDIC website.