Frequently Asked Questions (FAQs) For Depositors
Disclaimer: These FAQs are being issued for information and general understanding only and shall not constitute any legal obligation on the part of Deposit Protection Corporation (DPC). These FAQs are subject to updates from time to time by the DPC. The Deposit Protection Corporation Act, 2016, rules and regulations issued thereunder shall be applicable on all the member institutions.

Deposit Protection/ Deposit Insurance is a system established to protect the deposits of eligible depositors up to a specified limit in the event of a bank being declared as a failed bank by State Bank of Pakistan (SBP).
In Pakistan, the term Deposit Protection is used.

Deposit Protection Corporation (DPC) is a subsidiary of State Bank of Pakistan (SBP) established under the Deposit Protection Corporation Act, 2016. The role of the Corporation is to provide a robust deposit protection mechanism to ensure payment of protected amount to the eligible depositors of a DPC member bank, in the event of it being declared as a failed bank by State Bank of Pakistan (SBP).

Presently, a protected amount of up to PKR 250,000/- per depositor per bank has been determined by DPC for the protection of eligible depositors.

Deposit Protection will provide prompt access to the guaranteed amount i.e. up to PKR 250,000/- to the eligible depositors of a bank declared as failed by State Bank of Pakistan.
Presently all scheduled banks operating in Pakistan are members of DPC. Following is the list of banks that are members of DPC. This list is also available at DPC’s website: http://www.dpc.org.pk/Circulars/2020/CL1-Annex-A.pdf
    1- Industrial Development Bank Limited
    2- SME Bank Limited
    3- The Punjab Provincial Cooperative Bank Limited
    4- Zarai Taraqiati Bank Limited
    5- First Women Bank Limited
    6- National Bank of Pakistan
    7- Sindh Bank Limited
    8- The Bank of Khyber
    9- The Bank of Punjab
    10- Allied Bank Limited
    11- Askari Bank Limited
    12- Bank Alfalah Limited
    13- Bank AL Habib Limited
    14- Faysal Bank Limited
    15- Habib Bank Limited
    16- Habib Metropolitan Bank Limited
    17- JS Bank Limited
    18- MCB Bank Limited
    19- SAMBA Bank Limited
    20- Silkbank Limited
    21- Soneri Bank Limited
    22- Standard Chartered Bank (Pakistan) Limited
    23- Summit Bank Limited
    24- United Bank Limited
    25- lbaraka Bank (Pakistan) Limited
    26- BankIslami Pakistan Limited
    27- Dubai Islamic Bank Pakistan Limited
    28- Meezan Bank Limited
    29- MCB Islamic Bank Limited
    30- Citibank N.A.- Pakistan Operations
    31- Deutsche Bank AG- Pakistan Operations
    32- Industrial and Commercial Bank of China Limited- Pakistan Branches
    33-Bank of China Limited- Pakistan Operations
Your deposit is eligible for protection, if it does not belong to any of the following categories:
1. Depositors / deposits mentioned in the list below;

    i- Government or Government Institutions.
    ii- Member institutions of DPC.
    iii- Companies as defined under Companies Ordinance, 1984/ Companies Act 2017
    iv- Corporations, Modarbas, Mutual Funds
    v- Branch(es)/ Permanent establishment(s) of foreign entities
    vi- Diplomatic Missions and international organizations/ entities like United Nations, World Bank, IFC, ADB etc.
    vii- Autonomous Bodies
    viii- Deposits on which preferential interest or return has been granted
    ix- Members of Board of Directors and senior management of a DPC member bank
    x- Partners of auditing firm responsible to certify DPC member bank financial statements
    xi- Persons acquired rights to a deposit after State Bank of Pakistan’s notification of Bank failure under DPC Act 2016
    xii- Spouses, dependent lineal ascendants and descendants and dependent brothers and sisters of the persons specified at sr. no ix, x & xi above.
    xiii- Deposits arising out of or related to transactions or actions constituting 'money laundering within the meaning of the Anti-Money Laundering Act, 2010, if the offender has been convicted of such offence
Following type of accounts of eligible depositors are protected by DPC:
    1- All current and saving accounts including Roshan Digital Accounts (RDA).
    2- All type of branchless banking accounts
    3- Fixed term deposits
    4- Call Deposit Receipts (CDR)/ Security Deposit Receipts (SDR)
    5- Deposit balance kept as cash margins/ collateral or under lien, that are payable to depositors after
        satisfaction of all dues that are payable by them to the bank.

    6- Foreign currency deposits. However, equivalent PKR on the exchange rate declared by SBP on
        notification date shall be reimbursed.

    7- Profit on any of the above deposits accrued till cut-off date.
    8- Any other type of deposits communicated by DPC from time to time.
DPC does not provide protection to depositors of overseas branches of Pakistani banks and branches located in Export Processing Zones (EPZ) across Pakistan.

Yes, Nationality/ residential status of a depositor does not affect the eligibility of a depositor for deposit protection. However, the bank should be a member institution of DPC. This can be verified from the list of banks available in FAQ#5. The list of member banks is also available on the DPC website at http://www.dpc.org.pk/Circulars/2020/CL1-Annex-A.pdf
No, all eligible depositors of member banks of DPC shall automatically stand qualified for deposit protection.
Yes, each eligible depositor of a joint account enjoys separate protection by DPC. However, any pre-defined share or proportionate share of each depositor in a joint account shall add up to his/ her other deposit balances in the same bank for the purpose of calculating the protected amount for reimbursement to that depositor.
No, the maximum protected deposit currently prescribed by DPC is PKR 250,000/-.
Depositor may claim for the unprotected portion of their deposits from the official liquidator.
No, DPC provides a total coverage of up to PKR 250,000/- to each eligible depositor against all of his/her conventional & Islamic deposits, held in the same bank.
Yes, a single depositor can receive a protection of up to PKR 250,000/- against all his/ her deposits maintained with each member bank. However, maximum protection is capped at PKR 250,000/- for all accounts in one bank based on ‘per depositor per bank principle’.
The protected amount shall be reimbursed to eligible depositors in Pak Rupees. Foreign currency deposits shall also be reimbursed in equivalent Pak Rupees on the conversion rates declared by SBP for this purpose.
No, banks are not allowed to recover any cost associated with deposit protection from their depositors.
No, DPC will not pay any further interest or profit on the total claim of the depositor on a failed member bank.
The issues related to instruments in transit that are not settled/ cleared on the date of bank failure shall be addressed during liquidation process. DPC would make payment to eligible depositors based on the outstanding balance(s) available in their deposit account(s) on the date of bank failure as declared by State Bank of Pakistan.
DPC does not provide separate protection to persons having accounts as an individual and a Sole Proprietor in the same bank. The calculation of protected amount for such depositors is depicted below:
Depositor
Category
No. of Accounts
Deposits
(In PKR)
Protected Amount
(In PKR)
Mr. XYZ Khan
Individual
1
100,000
---
Mr. XYZ Khan
Sole Proprietor
1
170,000
---
Total
------
2
270,000
250,000
The protected amount would be assessed against all deposits of a single depositor held with a failed bank on the date of notification by the State Bank of Pakistan. The following table clarifies the process of evaluating guaranteed amount for different categories of depositors:
Depositor
Category
No. of Accounts* in Same Bank
Total Deposits
(In PKR)
Protected Amount
(In PKR)
Mr. XYZ Khan
Individual and Sole Proprietor
3
300,000
250,000
Ms. ABC Bibi
Individual
1
150,000
150,000
Mr. RAZ
Sole Proprietor
4
1,000,000
250,000
ABC Consultancy Ltd
Partnership Firm
2
700,000
250,000
WBC Builders
Partnership Firm
3
1,500,000
250,000
MNP Fitness Club
Sole Proprietor
6
1,000,000
250,000
SINCOS Foundation
Trust
1
100,000
100,000
TANG-ONN
Other
( Adventure Club)
1
50,000
50,000

*represents either conventional or Islamic or both type of accounts held by a single depositor
After the issuance of notification by State Bank of Pakistan (SBP), the Corporation (DPC) shall inform general public through leading newspapers having wide circulation in the country. The information shall include the date after which depositors will receive protected amount from the Corporation and the procedure for payments.
Deposit balances of all eligible depositors shall be validated on the basis of a comprehensive depositor’s database reported by the failed member institution (bank).
DPC shall begin the process of reimbursement to eligible depositors as early as possible after the issuance of failure notification of a member institution by SBP. DPC shall ensure payments to most of the protected depositors are made or tendered within seven working days and that all payments are made or tendered within thirty days at the latest, provided that there is no legal dispute on the deposit or accounts in question.
 
Your deposits up to the guarantee amount shall continue to be protected separately for a period of one year or full withdrawal or until maturity of the deposits, whichever occurs earlier, from the effective date of merger.
Yes. However, the legal heirs will be required to prove their right to claim the guaranteed amount by acquiring all necessary documents as per the applicable laws.
You may visit our website http://www.dpc.org.pk to access further details on deposit protection in Pakistan. You may also write to us electronically at info@dpc.org.pk or through surface mail at the following address:

DEPOSIT PROTECTION CORPORATION
2nd Floor, SBP Building, M.A. Jinnah Road,
Karachi.