Philippine Central Bank Seeks to Tighten Rules on Digital Bank Advertisements
The Bangko Sentral ng Pilipinas (BSP) seeks to amend its rules and regulations on bank advertisements in order to prevent any financial institution from posing as a digital bank despite not meeting the requirements.
Under the proposed amendments, “universal and commercial banks which do not meet the criteria, as well as thrift, rural and cooperative banks, that have an online banking site or mobile applications, are prohibited from using ‘digital banks’ in their marketing channels.” It is further stated that “no bank advertisement shall mislead, misrepresent, or give a false impression to the public with respect to the banking category of a bank and the products and/or services that the bank is authorized to offer.”
Copies of the proposed amendments were disseminated among banks for comments and feedback until June 28, 2021. The BSP is yet to issue a Circular providing for the final amendments.
The proposed amendments can be found here.