The Deposit Insurance Scheme (the “Scheme”) will compensate individuals (excluding an individual who places a deposit in an account in the name of a partnership or a sole proprietorship) and charities (collectively known as “insured depositors”) up to a maximum of $20,000 in aggregate across their insured deposits in the event that their bank or finance company (“Scheme member”) should fail.

Insured deposits are defined under the Deposit Insurance Act to be:

(a)     any of the following deposits in Singapore dollars placed by an insured depositor with a Scheme member in any of its branches in Singapore:

(i)       A deposit in a savings account;

(ii)     A deposit in a fixed deposit account;

(iii)    A deposit in a current account; and

(iv)    A deposit under the Supplementary Retirement Scheme

including any accrued interest for each of the deposits specified above; and

(b)     any moneys denominated in Singapore dollars, placed by an insured depositor with a Scheme member under the Central Provident Fund Investment Scheme (the “CPFIS”).

For the purposes of determining the amount of compensation that an insured depositor is entitled to, the moneys stated in (b) will not be aggregated with an insured depositor’s other insured deposits placed with the failed Scheme member.  The Scheme will separately compensate insured depositors up to a maximum of $20,000 for the moneys denominated in Singapore dollars placed with the failed Scheme member under the CPFIS.

The following are not insured deposits:

(1)     Any deposit denominated in a currency other than the Singapore dollar;

(2)     Any structured deposit (including dual currency investment) as defined in the Financial Advisers Act (Cap. 110);

(3)     Any deposit which is pledged, charged or secured as collateral; and

(4)     In a case where there is a contractual set-off agreement between the Bank and a depositor, any deposit or part thereof placed with the Bank which is set aside in respect of any debt owing by the depositor to the Bank, and such deposit or part thereof which has been set aside cannot be withdrawn by the depositor unless and until the debt is fully paid up.

The Scheme compensates depositors through a deposit insurance fund (the “Fund”) built up from contributions by full banks and finance companies.  The Singapore Deposit Insurance Corporation, a separate entity incorporated as a company limited by guarantee under the Companies Act, will administer the Scheme and manage the Fund.

Please note that no action is required from OCBC Bank customers and customers need not pay to be covered under the Scheme. All insurance premiums and costs will be borne by OCBC Bank.

Singapore dollar deposits held by or for insured depositors in accounts listed in OCBC Bank’s Insured Deposit Register will be covered under the Scheme.