Deposit insurance for deposits exceeding NT$3M

Was reading this article:

Then @Pickle’s post led me to this one:
https://www.cdic.gov.tw/main_en/docdetail.aspx?uid=243&pid=83&docid=62

Which said that:
“The maximum insured amount for all types of deposits at all branches of the same insured institution is NT$3 million per depositor. The coverage includes principal and interest accruing to such deposits. A depositor can not receive additional coverage over the NT$3 million limit by dividing his/her savings into separate accounts or branches within the same insured institution.”

So in short if a depositor has in excess of NT$3M, is s/he better off spreading it between different banks? (Not different branches but different companies)

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Yes. The average Taiwanese person has more bank accounts than they can remember.

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Are you the same NomadCapitalist as this guy https://www.youtube.com/@nomadcapitalist ?

Makes me wonder how many accounts are simply forgotten by people full of cash

‘Forgotten’ accounts will be turned over to a government body until it’s reclaimed.

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what are you afraid of exactly that you want to open multiple accounts ?
Bank default ? embezzlement ?
is this personal use? or business account ?

The deposit insurance relates to bank default. Probability is small but risk is defined as probability x consequence. Consequence of losing NT$M is painful, so risk needs to be reduced as much as possible.

Fraud is also a concern as two banks I’ve been to already do not offer prepaid cards, and no credit cards to foreigners. If the debit card is cloned/stolen, it is the depositors’ money on the line, which should in theory be returned. Anyone have any experience with how good Taiwanese banks are in this regard? So the bank with a debit card should have a highly watched NTD account with a small but dynamic balance.

Business account will come soon. For this the criteria is slightly different. It will also be a highly active account that will need to be able to perform/receive remittances in foreign currencies with low fees and easily watched. I notice my ebanking interface with one of the big Taiwanese banks does not update card spending immediately. It may well be with Wise or Revolut.

personally i dont see a reason to have over 3 million ntd in deposits. it will make more sense to invest any surplus cash instead of having several accounts just to insure against bank defaults.
But to each his own. good luck.

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It’s easy to inquire about forgotten accounts. You can submit a form via The Association of Banks, and they will ask all member banks to check if you have an account with them. The bank will send you a letter if you do.
https://www.ba.org.tw/PublicInformation/BusinessDetail/31

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