Payments, called dividends, depend on the rate of recovery from the liquidation of the assets of the institution, and the extent and priority of claims from other creditors of the institution. Final disbursements may take several years, depending on the type of assets to be realised.
Frequently Asked Questions
- If a depositor has more than $125,000 (the current insured limit) in a failed institution and is paid $125,000 by the DIC, what happens to the amount in excess of $125,000?
- How is a depositor notified of the date and place of payment of his or her claim after an institution is closed?
- Which institutions depositors are insured by the DIC?
- What procedure does the DIC follow after an institution has been closed?
Did You Know?
- Misconception: Deposit insurance can be claimed while the member institution is still continuing in operation.- Fact: Deposit insurance is ONLY activated upon closure of a member institution.