LPS disburses Rp243 billion to reimburse depositors of four failed BPRs in West Java

The Indonesia Deposit Insurance Corporation (LPS) has recorded the disbursement of deposit insurance claims worth Rp243.02 billion to safeguard the funds of thousands of customers from four failed BPR/BPRS (Rural Banks) in West Java between 2025 and August 2026.

This realised payment reaches 99.47 per cent of the total eligible deposits amounting to Rp245.44 billion, which covers 31,437 accounts belonging to the public in West Java.

“LPS has paid out Rp243.02 billion of the total eligible deposits of Rp245.44 billion, meaning we have completed 99.47 per cent, and for the number of accounts, it is 31,437 accounts or 99.53 per cent,” said the Executive Director of Secretariat and Institutional Relations at LPS, KM Nuruddin, during a media briefing in Bandung, West Java, on Saturday.

Nuruddin revealed that from the total deposits verified in West Java, there were ineligible deposits amounting to Rp1.58 billion, or 0.08 per cent.

Most of the claim rejections were triggered by deposit interest rates exceeding the LPS Guarantee Interest Rate (TBP) limit, as well as customer involvement in the bank’s unhealthy condition.

Customer actions that contributed to the bank’s unhealthy status amounted to Rp1.3 billion (0.53 per cent).

Nationally, as of 31 August 2026, LPS recorded the handling of 11 BPR/BPRS closures due to the revocation of their business licences by regulators.

From that figure, LPS has paid claims amounting to Rp595.61 billion for 52,739 accounts out of total eligible deposits of Rp1.85 trillion.

To avoid the risk of forfeited claims when a bank is closed, LPS warns the public to adhere to the ‘3T’ principle: recorded in the bank’s books, deposit interest rates do not exceed the LPS Guarantee Interest Rate, and not engaging in actions that harm the bank.