JANUARY 25, 2026 — Senate President Vicente “Tito” Sotto III has filed Senate Bill No. 1667, aiming to toughen the Philippine Deposit Insurance Corporation (PDIC) and sharpen the country’s bank liquidation process. Sounds technical, yes — but let’s break it down. This bill could decide how fast ordinary Filipinos get their money back when banks go belly up.

Sotto insists, “The amendments will empower the PDIC to respond decisively to emerging risks and financial crises, while minimizing disruptions to the financial system.” 

That’s a big promise. But will this translate into actual relief for Juan and Juana de la Cruz when their hard-earned savings suddenly vanish behind shuttered bank doors?

The bill proposes expanded deposit coverage, even extending protection to Non-Bank Financial Institutions (NBFIs) and cooperative products recognized by the BSP and CDA. That’s a major shift — because let’s face it, many Filipinos trust their local cooperatives more than big banks. If this passes, your cooperative savings might finally enjoy the same safety net as traditional deposits.

Another highlight: faster release of insurance claims. No more waiting months or years to reclaim your own money. 

Imagine the difference for families who rely on those savings for tuition, hospital bills, or daily survival. And in times of looming financial instability, the Monetary Board could even grant “Temporary Blanket Coverage” — meaning all deposits, regardless of size, would be fully insured.

While the bill sounds protective, it also raises tough questions. Will PDIC have enough funds to cover expanded responsibilities? Will this embolden risky banking practices, knowing deposits are shielded? Or will it finally restore public trust in a financial system often seen as fragile and unfair?

Filipinos deserve more than promises — they deserve certainty that their money won’t vanish into thin air.

In the end, the strength of our financial system is measured not just by the banks, but by the protection of the people’s savings.

Will this new bill finally make it easier for more Filipinos to trust their savings are secure?

(Image: Philippine News Agency)