Senator Win Gatchalian has called on the Bangko Sentral ng Pilipinas (BSP) to remind banks to accept national IDs for financial transactions.
Under Republic Act 11055 or the Philippine Identification System Act, any bank that refuses to recognize the national id as a sufficient proof of identity will be fined P500,000.
According to Gatchalian, some banks refuse to recognize the national ID as proof of identity because the card itself does not display the person’s signature.
“This is not the intention of the law. The national ID system is meant to simplify public and private transactions. The BSP should immediately look into this issue and ensure that all financial institutions, especially Landbank and Development Bank of the Philippines, adhere to the law,” the senator said.
In a memorandum issued by BSP, the Philippine Statistics Authority (PSA), one of the implementers of the law, explained that the non-inclusion of a handwritten signature was deliberate and aligns with other national ID systems such as India, Singapore, Malaysia, Thailand, and Vietnam, among others.
Memorandum No. M-2021-057 specifies that the Philippine Identification System (PhilSys) allows both offline and online means of authenticating one’s identity.
Identity authentication is made through the PhilID physical security features, QR code digital verification, biometric verification, and SMS one-time password (OTP).
Banks normally require two or more IDs and other documentary requirements when opening a bank account. However, those with only one valid ID, usually from the low-income sector, are rejected.
“There shouldn’t be a need for another valid ID if the individual concerned only has the national ID,” Gatchalian said.
The senator also encouraged the public to report to BSP banks that refuse to accept their national IDs in their bank-related transactions.
PSA has released more than 50 million physical and digital versions of the national ID as of March this year.IMT
