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Agency preps operations for new deposit variety
The Deposit Protection Agency (DPA) plans to safeguard customers’ accounts at the proposed virtual banks, with the agency preparing its internal operations in line with this new offering.
According to the Deposit Protection Act, the agency guarantees customers’ deposits at financial institutions under the Bank of Thailand’s Financial Institution Business Act.
Under the central bank’s related regulations, virtual banks will be covered by the Financial Institution Business Act, so depositors will receive protection from the DPA, said agency president Songpol Chevapanyaroj.
In addition to deposit protection and reimbursement, the DPA also helps with liquidation if a bank collapses and needs to return its business licence to the central bank.
The DPA would facilitate a virtual bank’s exit in such a situation.
In other countries, some virtual banks have been unable to…
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