The Bangko Sentral ng Pilipinas (BSP) has reaffirmed its commitment to ensuring that bank customers can access their funds for large amounts without facing unnecessary delays. This clarification aims to balance customer convenience with the need for financial security.
Simplifying Large-Value Withdrawals
Under BSP Circular No. 1218, Series of 2025, the central bank has outlined clear guidelines for transactions exceeding ₱500,000 or its foreign currency equivalent. The key distinction lies in the method of withdrawal. For traceable or non-cash channels like checks, online transfers, or bank transfers, no additional documentation is required.
However, for cash withdrawals above this threshold, customers are expected to present documents that show a legitimate purpose. Acceptable proof includes a deed of sale or a hospital bill. The BSP has instructed all BSP-supervised financial institutions (BSFIs) to handle the review and submission of these documents efficiently, ensuring the process does not cause undue delay for legitimate transactions.
Implementation and Stakeholder Engagement
This circular was officially issued on 18 September 2025. Following feedback from various stakeholders, including banks, industry groups, and government units, the BSP released a set of Frequently Asked Questions (FAQs) on 30 October 2025.
The purpose of these FAQs is to promote a uniform understanding of the new rules among all financial institutions. The BSP has also conducted several briefing sessions with stakeholders to ensure the policy is rolled out effectively across relevant industries.
Reinforcing Financial Integrity
The central bank emphasizes that this regulatory measure is not designed to burden customers or exclude legitimate businesses from the financial system. Instead, it is a strategic reform to strengthen existing measures.
The primary goals are to combat the use of cash for illegal activities, uphold the integrity of the country's financial system, and encourage the public to use traceable and more efficient payment channels. This move ultimately safeguards both the public and financial institutions from potential risks associated with large, untraceable cash movements.
