Fact: ONLY member institutions that are licensed under the Financial Institutions Act, 2008 are covered under the Deposit Insurance Fund. This legislation provides for the regulation of commercial banks and other institutions engaged in the business of banking and business of a financial nature.
Frequently Asked Questions
- What happens to those depositors whose accounts are subject to further examination?
- Is the insurance protection increased by placing funds in two or more types of deposit accounts in the same institution?
- How is a depositor notified of the date and place of payment of his or her claim after an institution is closed?
- Are any other cash liabilities of financial institutions covered?
Did You Know?
- Misconception: Depositors of a failed member institution would receive payment immediately upon closure of the failed member. - Fact: The legislation governing the operations of the Deposit Insurance system provides for payout to commence within 3 months of the closure of a member institution.
