The Bangko Sentral ng Pilipinas (BSP) has commended President Duterte and Congress for the enactment of the Financial Products and Services Consumer Protection Act (FCPA).
BSP Governor Benjamin Diokno said Republic Act 11765 signed last May 6 is expected to further strengthen public trust and confidence in the financial system.
“The FCPA, as one of the legislative priorities of the BSP, is geared toward the effective regulation of the financial industry by strengthening the role of financial regulators in consumer protection,” Diokno said.
According to the BSP, the new law empowers financial regulators to take necessary steps against financial service providers from performing acts that are disadvantageous to consumer welfare.
The measure also provides consumers with a redress mechanism, while ensuring equitable treatment, transparency and data privacy.
The FCPA covers all financial products and services offered by any financial service provider, including those accessed and delivered through digital channels.
It institutionalizes consumer protection, enables adjudication of complaints, promotes transparent and reasonable pricing, authorizes financial regulators to carry out enforcement actions, and fosters fair treatment of consumers while protecting their data.
Violators, according to the central bank, face penal provisions under the new law.