RESTRICTIONS ON CASH AND DUE FROM BANKS

12 Months Ended

Dec. 31, 2016

Restrictions on Cash and Due from Banks [Abstract]

Restrictions on Cash and Due from Banks [Text Block]

NOTE 3 – RESTRICTIONS ON CASH AND DUE FROM BANKS

The Corporation’s bank subsidiary, FirstBank, is required by law to maintain minimum average weekly reserve balances to cover demand deposits. The amount of those minimum average weekly reserve balances for the period that covered December 31, 2016 was $276.2 million (2015 — $251.7 million). As of December 31, 2016 and 2015, the Bank complied with the requirement. Cash and due from banks as well as other short-term, highly liquid securities are used to cover the required average reserve balances.

As of December 31, 2016, and as required by the Puerto Rico International Banking Law, the Corporation maintained $300,000 in time deposits, which were considered restricted assets related to FirstBank Overseas Corporation, an international banking entity that is a subsidiary of FirstBank.