Definitions of Key Terms
- Continuing Offenses/Violations: Acts or omissions violating laws or BSP rules persisting until corrected; penalized per calendar day.
- Transactional Offenses/Violations: Single acts or omissions violating laws or BSP rules that cannot be corrected; penalized once per transaction.
- Continuing Penalty: Monetary penalty calculated on a per calendar day basis for continuing offenses.
- Transactional Penalty: One-time monetary penalty for transactional offenses.
Computation of Penalty Period
- Penalty duration computed using calendar days, superseding terms such as "per banking day" or "per business day" used in other BSP regulations.
- Clarifies that penalty periods are uniformly applied as calendar days across BSP regulatory frameworks.
Additional Charges for Late Payment
- Late payment attracts an additional 6% per annum charge calculated from the due date until actual payment.
- Penalty due within 15 calendar days from the Statement of Account receipt.
- For BSP demand deposit account holders:
- Unpaid penalties after 15 days automatically debited without additional charge.
- If funds insufficient, the penalty incurs 6% interest from the day after the 15-day grace period until paid.
Appeals and Reconsideration Procedures
- One-time appeal or request for reconsideration allowed,
- Must be filed with BSP's Supervision and Examination Sector (SES) within 15 calendar days of receiving the billing statement.
- SES evaluates and recommends within 30 calendar days.
- Final decision rests with the Monetary Board (MB).
- The penalty period or additional charge accrual is suspended during the appeal process until MB’s decision notification.
Repealing Clause
- Inconsistent provisions in existing BSP regulations (MORB, MORNBFI, others) amended or repealed to align with these guidelines.
Effectivity
- The Circular becomes effective 15 days after publication in the Official Gazette or a newspaper of general circulation.