Legacy rural banks on bank holiday?

Update: Two days after this article was posted, there are now official reports about Legacy banks closing and declaring a bank holiday. Read more here: Update on Legacy rural banks and in the Legacy Banks discussion thread.

After months of speculation in the PMT Forum, several banks under the Legacy Financial Group reportedly declared a bank holiday early this week, meaning they are, for the meantime, closed while planning for the next steps.

There are no official news available online yet but here’s what we have gathered so far based on posts by several PinoyMoneyTalk members.

Please note that the following are unofficial and unconfirmed statements and are merely opinions of PMT Forum members. As of this writing, there is no official word yet from the Bangko Sentral ng Pilipinas (BSP) or the Legacy Group.

lowprofile: Guys I just came back from RBOP [Rural Bank of Paranaque] Ortigas Branch and they are on bank holiday and there is a note there that they are waiting for the “Emergency Loan” from BSP to re-open. It’s like passing the hot potato back to BSP. BSP should immediately act on this issue before it damages the whole banking industry as the Legacy banks are the largest rural bank now.

broas: Since 11 months, i have been getting my interest – automatically deposited to my BPI account. However, just last Saturday, i received a call from the teller (the one who recruited me to invest) saying their President informed them that BSP has taken over their bank and starting today, Bank Holiday na sila (meaning close na ung bank and they are already jobless). He is asking me to keep all my documents since the next step is PDIC na. He himself together with all members of his family have invested in the bank.

baka: Finally, I was able to speak with the person in charge with RBP at BSP. She said, she is still confirming the special bank holiday because it was declared by RBP not BSP.

FOREX: I called up my agent this noon. She told me that one of the branch managers of Rural Bank of Paranaque informed her that the bank was closed indeed. He told her also the it seems the BSP is not inclined on extending loan to the bank.

PhilResident: As far as confirmed for me: 3 banks are on a bank holiday: Rural Bank of Paranaque, Pilipino Rural Bank, Rural Bank of Bais (Supreme Bank). Bank holiday does NOT mean that they are out of business yet. Would BSP give emergency loan when requested by a bank? Should not speculate on this, but you might wonder what will be wise for the BSP to do, considering the Philippine economics. Anyhow, that is up to them. Monthly incoming seems to bounce from date Dec 2 onwards for some/several banks, which is in the light of the ongoing audits not a surprise. The checks I personally will receive back as bounced will be hold in my possession for a while, awaiting for an update what to do with them.

levi_pinoy: Heto yung text nung Legacy agent sa kapatid ko: Just now, an emergency meeting was scheduled by our Chairman 1st hour today. After my probing of the nature, I learned that an extensive untimely withdrawals occurred last week in our Laguna & Cebu banks due to bad publicity again in the Inquirer by Daxim Lucas last Tuesday. All our banks has enough liquidity for regular maturing deposits and interest due but any banks would give in if massive withdrawals would arise. I’ll inform u for further developments but in any case please ready your Certificate of Deposit.

Got some official news or just want to join the discussion? Drop by the following related forum threads:

About the Author

Official SWIFT Code of BDO, BPI, Metrobank, Philippine banks

When sending cash remittances or wire transfer to a bank account in the Philippines (such as BDO, BPI, Metrobank, Landbank, DBP, etc.), you’ll surely need the SWIFT Code of the bank. Look no further because you can find all the SWIFT Codes you need in this list! Make sure you’re using the right bank code ... Read more

How to Waive your Credit Card Annual Fee (BDO, BPI, Metrobank, RCBC, Citibank, UnionBank)

Without a doubt, one of the most annoying fees that credit cardholders have to pay is the annual fee. Majority of cardholders are familiar with this fee and majority of us likely pay this grudgingly year after year after year. In the case of my credit card with BPI (Bank of the Philippine Islands), I’m ... Read more

Why Filipinos do not become business owners or entrepreneurs

For a majority of Filipinos, entrepreneurship does not seem to be a typical, expected path. This is not surprising, considering that in school, students are primarily taught to become employees after graduation. Students train for years to become staff workers, reporting to a supervisor, and just waiting to receive their wages or salaries every month. ... Read more

My experience investing in Mutual Funds in the Philippines

I started investing in mutual funds when I was 22 years old. As an Overseas Filipino Worker (OFW) then, I was fortunate to be able to save some money at that young age because of my work abroad. One time while I was on vacation in the Philippines, I saw a large billboard in EDSA ... Read more

Income Tax Tables in the Philippines (2022)

The Philippines’ new tax reform bill, known as TRAIN or Tax Reform for Acceleration and Inclusion, was signed into law on December 19, 2017 and its implementation began on January 1, 2018. What are the new income tax rates under the TRAIN law? How will TRAIN affect income taxes of individuals and corporations? How is the ... Read more

PSE Stocks Performance under each Philippine President (1987-2021)

Did you know that Philippine stocks were able to achieve an astounding growth of 800% in a span of 30 years? From 1987 until 2018, the Philippine Stock Exchange index (PSEi) rose from 1,000 points to a peak of 9,000 points — generating a return of 800% over 30 years. (The PSEi is an index ... Read more

SSL 2022: Salary Increases for Teachers, Nurses, Gov’t Employees

Good news to all government employees! There’s a new round of salary increases beginning January 1, 2022! Millions of employees of the Philippine government — including public school teachers, nurses and staff of government hospitals, and workers in local and national government agencies, etc. — will be getting an automatic salary adjustment this 2022 under ... Read more

PSE Trading Hours in 2022: What time open, when closed?

Before you take the plunge into stock trading and investing, make sure you understand what stocks are and how the Philippine Stock Exchange (PSE) operates. Unlike other investments that are relatively safe, stock trading is risky and loss of money is a possibility. So before you deep dive into the exciting world of stock trading, ... Read more

Price Floor and Price Ceiling of PSE Stocks

Trading bands in the PSE come in two forms: Price Ceiling, or the upper price limit, and Price Floor, or the lower price limit.

How to Use the PSE Board Lot Table

How much do you need to start trading stocks in the Philippine Stock Exchange (PSE)? How many shares of Globe Telecom (GLO), Ayala REIT Inc. (AREIT), DITO CME Holdings (DITO), or Megaworld (MEG) can you buy or sell at any given time? You probably don’t know it, but these questions can be answered by simply ... Read more

5 thoughts on “Legacy rural banks on bank holiday?”

  1. This makes me worry even if I don’t have an account with the Legacy Group. I have substantial savings (but within the PDIC maximum) in several rural banks here in La Union. Now I’m reconsidering if I should transfer my funds into commercial (and thus, more stable) banks.

  2. Im very much worried about this incident, ,til now i dont know what is the best things todo coz i already withdrwn my time dposit even without 20% interest but the promblem is the chek they give is WALANG PONDO,,,,,Wala talaga silang pera kasi 2months kung BINIGyan ng time pra mabawi ko but sinauli naman pro walang LAMAn….Sa tagbilaran po to na Pilipino Rural Bank…


Leave a Comment