LEGAL REVIEW ON DEPOSIT INSURANCE INSTITUTIONS IN THE PROTECTION OF CUSTOMER’S DEPOSITS FUNDS IN THE BANK

Abstract

The formulation of the problem in this research are 1) How is the Protection of Customer Deposit Funds in the bank by the Deposit Insurance Corporation in the perspective of Law No. 24 of 2004 concerning the Deposit Insurance Corporation?. 2) What is the procedure for returning customer funds by the Deposit Insurance Corporation?. The objectives of this study are: To determine the responsibility of the Deposit Insurance Corporation to depositors of funds. To find out the procedure for refunding depositors by the Deposit Insurance Corporation. The method in this research is normative (doctrinal) by using primary legal materials and secondary legal materials. The conclusions in this study are: The Deposit Insurance Corporation is an independent institution formed by the government, which was developed based on the Act to foster a sense of public trust in the banking world after the monetary crisis that resulted in the liquidation of several banks in Indonesia. IDIC functions to guarantee bank customer deposits and actively participates in maintaining the banking system's stability following its authority. That socialization and confirmation from IDIC, OJK, and Bank Indonesia. Banking institutions and other stakeholders that deal with the sense of security for customers need to be addressed continually. No customers keep their money in the bank if the customer does not put their trust. Since 13 October 2008, the guaranteed balance for each customer at one bank based on Government Regulation of the Republic of Indonesia No. 66 of 2008 concerning the Amount of Deposit Guaranteed by IDIC is Rp. 2 billion.