Amendments to the Manual of Regulations for Banks and Non-Bank Financial Institutions as of 31 December 2016

EIANGKO SeNTnaL NG PILIPtNAS; OFFICE OF THE GOVERNOR ctRcutAR No. 961 Series of 2OL7 Subject: Amendments to the Manual of Regulations for Banks and Non-Bank Financial Institutions as of 31 December 2015 The Monetary Board, in its Resolution No.813 dated 18 May 20L7, approved the following amendments to the Manual of Regulations for Banks (MORB) and Manual of Regulations for Non-Bank Financial Institutions (MORNBFI) as of 31 December 2016. Section L. The following statement is added as a footnote to Subsections X409.2/4409Q.2.e., X601.5 /4501Q.5, X601.5 /4601Q.6 and Appendices 78lQ-47 and 78a/Q-47a. "The Monetary Board, in its Resolution No. 1945 dated 27 October 2016 approved the discontinuance of access of trust entities to the Bangko Sentral deposit facilities. Trust entities shall no longer have outstanding placement in the Overnight Deposit Facility (ODF) and Term Deposit Facility (TDF) by 30 June 20L7." Section 2. The phrase "as provided in ltem 'l' of this Guidelines" under ltem "F. g." of Appendix 108 is hereby deleted. Section 3. The Sections and Subsections of the Pawnshop Regulations as enumerated under Annex A of this Circular are hereby renumbered to make it consistent with the formatting convention of the Manuals. FOR THE MONETARY BOARD: AMANDO . TETANGCO, JR. overnor z )une 2OL7 A. MabiniSt., Malate 1004 Manila, Philippines. (632) 708-77-01owww.bsp.gov.ph. [email protected]

Annex A RENUMBERING IN P.REGUTATIONS old New Tatle/New Title Section/Subsection Section/Subsection Section 4LL2P Section 4287P Maximum Borrowings Section 4LL6P Subsection 4t42P.2 General qualifications of a proprietor, partner, director or officer of pawnshops Section 4L2tP Section 415IP Commencement of pawnshop operations Section 4L26P Section 4152P Registration with the city/municipality Subsection 4726P.t Subsection 4t52P.7 Notification; metal plate Section 4131P Section 4757P Business days and hours Section 4136P Section 4797P Records and reports Section 4t47P Section 4777P I nternal Control System Section 4L42P Section 4172P Separation of Pawnshop Business from Other Businesses Section 4146P Sections 4L74P Risk Management System Section 4t47P Sections 4L77P lnformation Technology Risk Management (ITRM) Section 4LSLP Sections 4155P Registered/Business Name Section 4156P Sections 4153P Tra nsfer/Relocation of Business Section 4L57P Section 4154P Voluntary closure of a pawnshop office Section 4158P Section 4155P Surrender of pawnshop operator license due to closure of business Section 4L66P Section 4301P Grant of Loans Subsection 4t66P.1, Subsection 4301P.L General guidelines Section 4767P Section 4302P Loan Limit Section 4168P Section 432LP Acceotable Securitv and Safekeeoins of Pawns Section 4158P.1 Subsection 432LP.7 Prohibitions Section 4169P Section 4323P Pawn ticket Section 4769P.7 Subsection 4323P.1 Stipulations in pawn ticket Section 4770P Section 4322P Redemption of pawns Section 4L77P Section 4305P Past due accounts; renewal Section 4L7tP.7 Subsection 4305P.L Right of pawner to redeem pawn within ninety (90) davs from maturitv Section 4L76P Section 4303P Interest and surcharges Section 4176P.1 Subsection 4303P.2 Other charges Section 4181P Section 4325P Public Auction of Pawns Section 4186P Section 4401,P BSP regulations on consumer protection Section 4t87P Section 44OZP Disclosures Subsection 4L87P.7 Subsection 44O2P.L Interest rates Subsection 4t87P.2 Subsection 4402P.2 Ninety (90)-Day Grace Period

, t., otd New Title/New Title Section/Subsection Section/Subsection Subsection 4787P.3 Subsection 4402P.3 I nsu ra nce Section 479LP Section 4591P Anti-Money Laundering Regulations Subsection 4191.P.1 Subsection 4691P.1 Know your customer Subsection 4197P.2 Subsection 469LP.2 Required seminar/training Subsection 4191P.3 Subsection 4691P.3 Anti-Monev laundering Program Section 4196P Section 464LP Electronic services Section 42OlP Section 4551P Supervisory powers of the Bangko Sentral Subsection 4201P.1, Subsection 4651P.1 Refusal to permit examination Subsection 4202P Section 4692P Revocation of Authority to Operate Section 4206P Subsection 4LO3P.4 Filing/licensing fees Section 4207P Subsection 4101P.6 Annual supervision fees (ASF) Section 427LP Section 4650P Philippine and Foreisn Currencv Notes and Coins Section 4276P Section 47OOP General Provision on Sanctions Section 422LP Subsection 4L11P.1 Capital build-up program