Practice question
A bank customer holds an ordinary legitimate savings deposit and a separate trust investment. Both are on authentic bank-issued statements. The customer argues that authenticity alone makes both insured deposits. Which analysis is correct?
- Authenticity converts every product into a deposit.
- Trust investments always receive an extra deposit limit.
- Authenticity is necessary but does not erase product exclusions; the trust investment is not insured merely because its statement is genuine.
- The savings deposit becomes uninsured because a trust account exists.
- Only the statement's paper size matters.
Legal references
- PDIC Charter as amended by RA11840, Sections5 and12–16: https://lawphil.net/statutes/repacts/ra2022/ra_11840_2022.html
- PDIC official Q&A on new MDIC, effective March15 2025: https://www.pdic.gov.ph/files/ccd/Q%26A%20on%20the%20New%20MDIC.pdf
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