The Bangko Sentral ng Pilipinas (BSP) recalibrates regulations on large value cash transactions.

Pursuant to BSP Circular No. 1230, large value cash payouts exceeding ₱1,000,000 or its equivalent in foreign currency may be carried out in a single transaction or in series of transactions within one (1) banking day. If the threshold is met, enhanced due diligence (EDD) shall be performed at the customer level. EDD need not be performed separately for each transaction, provided the customer has already been subjected to appropriate EDD measures

BSP-supervised financial institutions (BSFIs) may apply proportionate or risk-based EDD measures where warranted by the customer’s assessed risk profile, nature of business, activity or operations, and transaction pattern.

Notwithstanding the above threshold, BSFIs may adopt lower cash transaction limits based on its institutional risk assessment and/or customer financial profile.

If the BSFI fails to satisfactorily complete the EDD procedures; or reasonably believes that performing the EDD process will tip-off the customer, it shall file a suspicious transaction report (STR) and closely monitor the account and review the business relationship. The BSFI shall also consider the alerts, red flags, and suspicious indicators, as well as typologies noted/reported by relevant government agencies, involving large or unusual cash transactions in filing STR.

BSP Circular No. 1230 now supersedes BSP Circular No. 1218 with respect to the EDD threshold, raising it from ₱500,000 to ₱1,000,000 (or its equivalent in foreign currency), whether conducted in a single transaction or in multiple transactions within one banking day.

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