By Bernadette H. Carreon
Horizon news staff

Schools, churches, state governments and depositors with accounts of $2,000 and less will be the priority of the payout from the $3.3 million the Taiwan government is lending the Pacific Savings Bank receiver.
President Remengesau was recently in Taiwan for state visit and brought home the promise of a loan from the Taiwan government after a request from the Palau government.
The president said for humanitarian consideration the Taiwan government has agreed to support the PSB receiver.
The president said the loan will be payable in one year and no interest will charged.
He said that the loan is good news to the depositors.
PSB receiver Kaleb Udui said that there are 5,419 depositors with accounts of up to $2,000, 12 schools, several churches and 13 state governments have deposits in PSB.
The total amount of the first priority of the loan is $3.35 million.
When the payout will begin is not yet known until the necessary documents are completed in obtaining the loan and the process of payments.
Udui said that $200,000 has already been collected since PSB was placed under a receiver.
The biggest assets the bank has is its loans which when collected will amount to $14 million.
Udui said fixed assets of the bank such as the office supplies, computers , among others only amount to a little over $30,000.
Udui said the PSB receiver is also discussing with the banking association the possibility of selling loans.
Udui said the banks here in Palau are very receptive in purchasing loans.
He said that the loans could be put out for a bid but PSB receiver could collect only less than the $14 million loans considered as the bank’s asset.
He said that there are entities outside Palau who are also interested in purchasing loans.