Deposits of up to EUR 100,000 are fully insured, says the Bank Deposits Guarantee Fund

Newsroom 28/07/2016 | 10:57

Deposits of up to EUR 100,000 are fully insured in Romania, says the Bank Deposits Guarantee Fund (FGDB) and should a bank be declared insolvent, the depositors can get their money back, said FGDB on Wednesday.

In Romania, out of 13,971,200 deposits of individuals, only 24,919 are higher than EUR 100,000 in 29 participating banks to FGDB. In these cases, only the amount of EUR 100,000 is insured by FGDB.

According to a release of FGDB, the Romanian legislation was updated in 2015, aiming to extend the depositors’ protection. Therefore, pay back period towards depositors in case of bankruptcy was shortened from 20 to seven working days and this also includes corporate clients.

“The resolution measures and the banking recovery, that were recently strengthened by the European Court of Justice, represent a series of tools aiming to save the banks in difficulty, appealing to the internal banking means, for the depositors’ protection with deposits lower than EUR 100,000 and the limitation of the Government support for banks, ” says FGDB.

Georgiana Bendre