Banks In The Philippines

[Onemore52]

I have been told that the branches of the big banks in the Philippines are entities in their right, so if one was to put money into a bank and it went down the gurglar, then you have no hope of getting your funds back.

 

Just putting it out there!

 

True or False?

 

[Dave Hounddriver]

PDIC guaranteed 500,000 pesos and they have actually been known to pay out, but you do need all your papers in order.

[Thomas]

Per PERSON. So 2 x if husband and wife.

Someone said a JOINT acount is counted as an own  = 3 x, but I don't know if that's true.

 

Some smaller banks belong to the guarantee too, but not all.  There are lists telling which banks belong to the guarantee at the PDIC website.

[scott h]

As Dave says there is a system in place like we have in the States, (and I assume Australia). But this is the Philippines, you buy your ticket and you take your chances.

 

There are several other topics covering this type of thing, but over all the consensus seems to be that most Expats keep their money in their home country banks, and transfer funds as needed. There are several different methods of transfer, those also are covered in depth in other topics.

 

Good question though, and a valid concern. :thumbsup:

[mogo51]

As an Aussie, do you need to have a Phils bank account,  I keep my funds in Oz, return 6 monthly to see family, draw out what I want and start the cycle again.  Have a visa card if I need to purchase air tickets etc. Best way to max your $A.

[Mjom]

Hello! I hope that this is just a bogus rumor, but keep this from spreading as a rumor, it will be helpful if we know whether or not you had the opportunity to source the origin of this with the person from whom you heard it?

[Petey]

PDIC guaranteed 500,000 pesos and they have actually been known to pay out, but you do need all your papers in order.

 

This is true.

 

What i have done is left an account open in UK where i receive payments to. Then when i need money here in Philippines i will apply for it and DHS the paperwork back to the bank in UK. Funds are usually in my account in 5 days.

 

I am against having my funds directly from sender ( business or whatever ) to my account here - always try to be safe and don't have all your eggs in 1 basket. 

[robert k]

There were some rural banks that used to promise some outrageous interest rates for time deposits, like double your money in 5 years outrageous and some expats invested large sums of money into those schemes before the banks closed. I heard that some expats got some or most of their money back after a few years of fighting the government for it but did not get the interest. Remember that if it sounds too good to be true, it probably is.

 

I see no reason why one can't have a local bank account where you can use a local ATM without fees but I wouldn't put too much in it, probably no more than 1 or 2 months living expenses because when the power goes out, that money may be no more accessible than it would be if you left it in your home country. I'm sure banks have or can get generators but I think it more likely they will just tell you to wait until the power comes back on.

Edited February 11, 2016 by robert k

[Dave Hounddriver]

don't have all your eggs in 1 basket. 

 

That is common advice, but as we get into retirement we need to rethink it.

 

Having your monetary "eggs" scattered in different "baskets" means there is more chance that one of the "baskets" will break and you will lose what you have in it.

 

As a younger man I followed the advice of: X amount in stocks and Y in bonds and Z in higher risk etc.  But when you get to retirement you only want to have the very safest baskets as every peso is needed.  So 1 or 2 baskets is plenty when they are safe and secure investments.

 

I put some of my eggs into high risk when I retired and lost them.  I still have the safe and secure basket of monetary eggs but it is much less than I had originally planned on.  Other friends, who got luckier than I, tend to think they just made smarter 'risky' investments.  Up to you whether you believe in such things as 'smarter risky'.

 

Perhaps I would re-word that common expression to say:  Don't keep all your eggs in one basket, spread around the ones you can afford to lose.

[earthdome]

 

don't have all your eggs in 1 basket. 

 

That is common advice, but as we get into retirement we need to rethink it.

 

Having your monetary "eggs" scattered in different "baskets" means there is more chance that one of the "baskets" will break and you will lose what you have in it.

 

As a younger man I followed the advice of: X amount in stocks and Y in bonds and Z in higher risk etc.  But when you get to retirement you only want to have the very safest baskets as every peso is needed.  So 1 or 2 baskets is plenty when they are safe and secure investments.

 

I put some of my eggs into high risk when I retired and lost them.  I still have the safe and secure basket of monetary eggs but it is much less than I had originally planned on.  Other friends, who got luckier than I, tend to think they just made smarter 'risky' investments.  Up to you whether you believe in such things as 'smarter risky'.

 

Perhaps I would re-word that common expression to say:  Don't keep all your eggs in one basket, spread around the ones you can afford to lose.

 

 

What you are talking about Dave is they class of investments you make. I agree later in life you need to shift to safer types of investments. I would still recommend having your safe investments spread around between a few different investment firms so you don't have all your eggs in one basket.