Requirement of PDIC Membership in Good Standing
- The amended provisions require that banks or banking offices applying for various authorities must be members in good standing with the PDIC.
- "Good standing" includes having no unpaid or past due assessment dues or obligations to the PDIC.
Specific Amendments per Banking Operations
- Establishment of Branch/Banking Office: Applicant must be a member in good standing with the PDIC.
- Acceptance or Creation of Demand Deposits: Requires PDIC membership in good standing.
- Acceptance of NOW Accounts: Same requirement as above.
- Issuance of Negotiable Certificates of Time Deposit (NTCD): Bank must be a PDIC member in good standing.
- Acceptance of Government Deposits: PDIC membership in good standing required.
- Issuance of Long-Term Certificate of Time Deposits (LTNCTD): Member in good standing with PDIC required.
- Engagement in Trust and Other Fiduciary Business: Requires PDIC membership in good standing.
- Engagement in Limited Trust Business to Thrift Banks (TBs) and Rural Banks (RBs): Must be PDIC members in good standing.
Operation of Foreign Currency Deposit Units
- Thrift Banks must be PDIC members in good standing to operate Foreign Currency Deposit Units.
- Rural Banks operating such units must have no outstanding major supervisory concerns relating to safety and soundness including non-payment of assessment dues and/or past due obligations with the PDIC.
Safety and Soundness Considerations
- For Rural Banks, the absence of "major supervisory concerns" includes but is not limited to payment status with PDIC assessments as a criterion for licensing.
Effectivity Clause
- The Circular took effect fifteen (15) days after publication in the Official Gazette or a newspaper of general circulation.
Legal Authority
- The amendments were officially adopted by the Monetary Board and signed by its Governor Amando M. Tetangco, Jr. on 10 December 2009.