The Monetary Board approved a regulation that seeks to level the playing field between banks and other non-bank BSP-supervised entities that offer domestic remittance transactions.
Last year, BSP Circular No. 928 was issued to amend regulations governing fees on retail bank products and services, including dormant deposit accounts. This Circular also required banks to charge all remittance fees upfront so that the sender is aware of the full cost of the transaction, and the exact amount to be received by the beneficiary. The intention is to improve the transparency of remittance charges and enable consumers to determine the most cost-efficient means of sending remittances.
The recently approved regulation will make the aforementioned provision of BSP Circular No. 928 applicable to all non-bank BSP-supervised entities that offer domestic remittance transactions.
This is in line with the objective of the BSP to foster a robust consumer regulatory environment to enable citizens to make wiser financial decisions and to contribute actively to the promotion of financial stability.