Authority and legal basis
- The issuance is made pursuant to Monetary Board Resolution No. 827 dated 04 June 2009.
- It further amends BSP Circular No. 564 dated 03 April 2007, specifically item aaa.
- The circular recognizes that BSP Circular No. 564 was as amended by BSP Circular No. 608 dated 20 May 2008.
Purpose and policy
- The circular strengthens the requirement for covered institutions to identify clients who transact with them for the first time through valid photo-bearing identification documents.
Definition of “official authority”
- The term “official authority” refers to any of the following:
- (i) Government of the Republic of the Philippines;
- (ii) its political subdivisions and instrumentalities;
- (iii) government-owned and/or controlled corporations (GOCCs); and
- (iv) private entities or institutions registered with or supervised or regulated either by the Bangko Sentral ng Pilipinas (BSP), the Securities and Exchange Commission (SEC), or the Insurance Commission (IC).
Valid IDs for first-time clients
- Clients who engage in a financial transaction with covered institutions for the first time must present the original and submit a clear copy of at least one (1) valid photo-bearing identification document.
- A valid photo-bearing identification document must be issued by an entity that qualifies as an “official authority” under the circular’s definition.
Specific inclusion: passports issued abroad
- The circular provides that PASSPORTS ISSUED BY FOREIGN GOVERNMENTS are also considered valid identification documents.