Depositors of collapsed banks urged to make follow-ups

Depositors of collapsed banks are struggling to submit repayment claims resulting in US$3.3 million being held up at the Deposit Protection Corporation (DPC).

The slow response by some depositors of the collapsed banks to make inquiries or follow ups about repayment modalities has emerged as a key cause of concern by regulatory authorities.

While it is the role of the DPC to protect depositors money locked in financial institutions as well as facilitating repayments in the event of closure, it has, however, emerged that at least US$3.3 million is still yet to be accounted for by the depositors of six collapsed banks.

Information gathered by the ZBC News this Wednesday from the DPC indicates that 11 000 customers of Genesis, Royal, Trust, Interfin, AfrAsia and Allied Bank have so far been paid $3,1 million reflecting a 49,2 percent payment rate from the total insured deposits of $6,4 million.

An economist Dr Nyasha Kaseke says depositors of the collapsed banks should make efforts to claim their funds.

"Of course the returns might be limited but it is better for them to make some follow ups," said Dr Kaseke.

According to the DPC, depositors of the banking institutions that were closed before June this year are being compensated using the old cover of US$500 per depositor.

However, the new cover limit of US$1000 per depositor is also expected to protect 93 percent of the transacting public.