BSP calls on public to report non-acceptance of national ID

All bank clients or customers are urged by the Bangko Sentral ng Pilipinas (BSP) to report a bank that declines to accept their national IDs while opening a bank account or performing other banking-related transactions.

In its digital and physical card form, the national ID is an accepted form of identification for bank transactions, according to BSP Deputy Governor Chuchi G. Fonacier, who is in charge of the Financial Supervision Sector of the central bank.

Since 2021, the Philippine Identification System (PhilSys) or national ID has been accepted as valid identification documentation by all banks and non-banks to open a bank account.

Nonetheless, the BSP is occasionally informed that banks refuse to accept a national ID to verify a depositor's identification since the card does not include the depositor's signature.

The BSP's Financial System Integrity Department (FSID), formerly known as the Anti-Money Laundering Specialist Group, refers to banks or non-banks that refuse to accept the national ID for inquiry, according to Fonacier.

The BSP initially released Memorandum No. M-2021-057 in October 2021 in response to a PSA advisory that all public and private organizations should accept the Philsys ID, commonly known as the Philippine Identification (PhilID) card, as identification upon adequate authentication.

The BSP periodically receives reports that banks refuse to recognize a national ID because it lacks a depositor's signature as identifying proof.

Certain institutions or non-banks that reject the national ID are referred to the BSP's Financial System Integrity Department (FSID), formerly known as the Anti-Money Laundering Specialist Group, for investigation, according to Fonacier.

In response to a PSA recommendation that all public and commercial entities recognize the Philsys ID, also known as the Philippine Identification (PhilID) card, as identity after sufficient authentication, M-2021-057 was passed in October 2021.

Financial institutions under the BSP's supervision have been reminded to accept the PhilID in physical and mobile formats without requesting a different ID, as this eliminates duplication of effort.

Physical security elements, digital QR code verification, biometric verification, and SMS one-time passwords will all be used to validate the ID online and offline.

The BSP has ordered banks and non-banks to identify the national ID as one of the acceptable forms of identification on their counters, at the entrances to their locations that are open to the public, on their websites, on social media accounts, and other consumer information channels.

The BSP stated that PhilSys records are regarded as official, sufficient, and a trustworthy source of verification for identity.