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Archives for April 2012

Anti-Money Laundering Risk Rating System

This is to notify all members and partners of RBAP of the newly issued Anti-Money Laundering Risk Rating System, adopted under MB Resolution 362 dated March 2 of this year.  With the approval of this rating system, expect the inclusion of new composite rating scheme, assessment tools, guidelines and the like when the BSP conducts an on-site examination.    The guidelines, sample questionnaire, details on audit control are provided below, which the BSP requires all covered financial institutions to thoroughly review and comprehend.

As explained by the BSP, the implementation of this risk rating system is to ensure that the risk management practices protecting banks and non bank FIs from money laundering activities and terrorist financing are sound and in place.  It is not intended to hamper all covered FIs with additional regulatory mechanisms, but complements Principle 19 of the Basel Core Principles of Effective Banking Supervision.

As an overview, the composite rating is based on a 1-4 numerical scale; 4 having the highest operational practices and 1 signifying weakness in the risk management system.  Stipulated in this resolution, FIs with a rating of 1 requires the highest supervisory concern and may be placed within the framework of prompt corrective action.

To secure a copy of the new ARRS, please download from our Slideshare account.

For your information and guidance.

Arrs

View more documents from RBAPAT54

BusinessWorld: Rural bank to launch POS facility

DAVAO CITY — One Network Bank, the country’s largest rural bank, is planning to roll out about 2,000 point-of-sale (POS) terminals within the year as it seeks to improve services to clients while competing with the commercial banks.

The initiative will turn the bank’s automated teller machine (ATM) cards — held by 320,000 clients at present — into debit cards and make cash payments unnecessary, said Alex V. Buenaventura, bank president.

“The cards can be used in establishments (where there are point-of-sale terminals),” he said in an interview, pointing out the cards can also be used in settling water and power bills.

Mr. Buenaventura said One Network Bank will put most POS terminals in Davao City where it is headquartered and distribute the rest at its 81 branches throughout Mindanao.  He also said the bank will register these terminals with Megalink and create a link that will allow the bank’s clients to use the terminals of Megalink’s member-banks.  “We are registering with Megalink so that our customers can also use the cards in Megalink-accredited POS terminals,” he said.

Mr. Buenaventura shared the bank will not buy these POS terminals but will rent them at a cost P2,400 each per month.  He added the bank is likely to “overshoot” the 2,000 terminals it is planning to install this year because many merchandisers want to partner with it. “It is very advantageous to the merchandisers because the payment will always be exact and the transactions are secure and fast.  Furthermore, they will not need to provide change to the customers,” he said.

One Network Bank netted a record P428 million last year, for a net profit growth of around 38%. Its resources soared 33% to 15.7 billion.

Despite its profitability and size, it does not plan to upgrade to commercial bank status. — Carmelito Q. Francisco

To view the full article of Ms. Francisco, click the embedded link http://www.bworldonline.com/content.php?section=Finance&title=Rural-bank-to-launch-POS-facility&id=49696.

Thank you.

 

CLOSED – FRP Seminar -April 20, 2012

FOR	: ALL PARTICIPATING RURAL BANKS

FROM  	: MA. CORAZON L. MILLER, Chairman

SUBJECT	: FINANCIAL REPORTING PACKAGE  SEMINAR

Dear Fellow Rural Bankers:

The Rural Bankers Association of the Philippines (RBAP), through the Rural
Bankers’ Research and Development Foundation, Inc. (RBRDFI), will conduct
a seminar described below as part of its continuing strategy to strengthen
the rural banking industry:

Course Title:	Financial Reporting Package (FRP) Seminar

Speaker :	        DANIEL VINCENT BORJA, CPA
                        Associate Professor / Consultant / Trainer

Venue:	        RBAP Conference Room, RBAP Bldg., A. Soriano Ave., cor.
		        Arzobispo St., Intramuros, Manila

Schedule:	        20 April 2012 (Friday) 1 day (8:30AM-5:30PM)

Participants:     Compliance Officer, Accountants, Cashiers
	                Internal Auditors, Managers

Registration Fee
a)	One Thousand Eight Hundred Pesos only (P1, 800.00).♣
b)	Two Thousand Two Hundred Pesos only (P2, 200.00) registration fee for
non-member rural banks. To avail of the regular registration fee,
non-member banks are encouraged to apply for membership with RBAP/RBRDFI.
Please call RBAP for details.
c)	This is a live-out seminar. Seminar fee includes snacks, training kit
and certificate of attendance.

For your reservations, kindly observe our training policies:

1.	Deadline for submission of registration is not later that April 18, 2012.
a)	Nomination form of the participant(s) duly endorsed by the bank’s
authority
b) Filled-up Participant’s Profile.
2.	A Non-Refundable commitment fee of P900.00 per participant (50% of the
registration fee). Payments can be remitted to the Rural Bankers Research
and Development Foundation, Inc. bank account (Land Bank of the
Philippines – Intramuros Branch Savings Account Number 0012-1046-26).
Proof of payment (i.e., deposit slip) should be sent immediately
verification at (02) 527-2980. Check payments, should be payable to Rural
Bankers Research and Development Foundation, Inc. (RBRDFI)
3.	Reservation via telephone conversation is accepted. However,
Registration Form and fee must be settled 10 days prior the seminar date
or April 10, 2012. Otherwise, reservation is considered cancelled.
4.	Cancellation Policy:
a)	10 days prior the seminar date is entitled for a full refund. *
b)	5 days prior to the seminar date is entitled for a half refund
c)	Participants who have paid but failed to show up for the seminar will
only be entitled to a rebate of 50% of the total registration fee.
d)	For special cases (health, accident etc.), kindly coordinate with
RBRDFI staff for refund procedures and requirements.

Please be advised that we accept on a first-come-first-served basis with a
manageable level up to thirty (30) participants only.

For your reservation, please call RBRDFI Training Officers:

Mr. Ace M. Calang
Ms. Grace Dimapilis.
Ms. Jesica Cepeda

Contact details: (02) 527-2969, 527-2980; 09178374604; 09178374603;
09178374599

Emails:   training@rbap.org,  grace@rbap.org, cepedajesica_rbap@yahoo.com

Please note that this is a live-out seminar.

Thank you very much.

Download the Participant's Profile Sheet in PDF

Notice on Land and Sea transfer rates

On behalf of the Aklan Federation headed by Mr. John Guidon dela Cruz,  we would like to notify all  members and representatives of RBs interested in joining this year’s convention in Boracay of the available rates for Round Trip Land and Sea transfers.  Organized by the aforementioned federation, the rates for Caticlan and Kalibo are as follows:

Via Caticlan:  P 600

Via Kalibo: P750

For queries and clarification, feel free to contact the RBAP Secretariat at telephone numbers (632) 527-2972/527-2968.   You may also email your comments and questions to info@rbap.org.

Thank you and we hope to see you all in Boracay!

 

Change in the Maturity of Placements in the Reserve Deposit Account Facility

In connection with Resolution  No. 475 of the Monetary Board, please be advised of the following amendments on the provisions of CL 539 of August 2006 and CL 551 of November 2006.   The amendments are as follows:

All new deposits in the reserve deposit account (RDA) facility shall be given a maturity date of 4 April 2012.

Any regulation of the BSP inconsistent herewith is deemed superseded or amended accordingly.

For your perusal and guidance, kindly download the circular by clicking the highlighted link: c752

Thank you.

 

Clarification on Secured loan and borrowing accommodation

For your information and guidance,  kindly refer to the provisions of item K.1 of Subsection X326.1 of the Manual of Regulations for Banks on the definition of secured loan, borrowing or other credit accommodation, as follows:

k. Secured loan, borrowing or other credit accommodation shall refer to any loan or credit accommodation or portion thereof referred to in Sec. 327 which is secured by:  (1) Real estate mortgage, chattel mortgage on tangible assets and pledge of jewelry, precious stones and other valuable articles.

Please be informed that the real estate mortgage provided therein must be registered with the Registry of Deeds and the chattel mortgage on chattel assets provided therein must be registered with the registry of deeds or other appropriate registry, in order for the loan or borrowing to be secured under said regulation.

To read the full details, kindly download the attached PDF m016

Thank you.

 

Accredited Rural Financial Institutions

This is to notify all RBs and partners that the BSP has certified four banks, three of which are RBs, as Accredited Rural Financial Institutions in accordance with the Rules and Regulations of RA 10000, otherwise known as the Agri Agra Reform Credit Act of 2009, and BSP Circular 736.  With the accreditation, the four banks are provided with the corresponding Certificate of Accreditation bearing an Accreditation Reference Number.

The following are the newly accredited banks with their corresponding ARN:

1. Rural Bank of Kiamba, Inc.              201201 12-BSP-0001

2. Rural Bank of Barili (Cebu), Inc    20120201-BSP-0003

3. Producers Savings Bank Corp.      20120201-BSP-0002

4. Rural Bank of Sta. Catalina, Inc.  20120312-BSP-0004

For all our readers information, the  accreditation is for the purpose of certifying that the loan portfolio of the newly listed ARFIs complies with the qualification requirements prescribed under relevant laws and regulations.

To secure a copy of this circular, dated March 28, please download the attached file by clicking the highlighted link: cl021

Thank you.

Philippine Star: BSP upgrades rural banks’ role

Philippine Star —  The Bangko Sentral ng Pilipinas (BSP) has given another rural bank the green light to operate as a rural financial institution (RFI), bringing to four the number of small banks that could raise funds for agri-agra lending.

The BSP has approved the application of Rural Bank of Sta. Catalina Inc. to operate as a RFI last March 12. It has earlier granted RFI status to Rural Bank of Kiamba in Sarangani, Producer’s Savings Bank in Pasig City and Rural Bank of Barili in Cebu.

Philippine banks now operate under the provisions of Republic Act 10000, also known as “The Agri-Agra Reform Credit Act of 2009”, that superseded Presidential Decree 717.

Last September, the BSP issued Circular 736 containing the revised rules and regulations requiring banks to set aside at least 25 percent of their total loanable funds for agriculture and agrarian reform credit in general.

In the circular, the bank regulator limited the modes of alternative compliance to the mandatory credit allocation.

The BSP said banks were required to submit their inaugural report detailing their compliance with the provisions of RA 10000 last January.

Among the acceptable modes of alternative compliance provided under RA 10000 is funding through so-called RFIs.

BSP-accredited RFIs are banks authorized to raise funds for agri-agra lending by accepting wholesale loans, placements in RFI special accounts and equity investments (preferred stocks) from other financial institutions.

RFIs then act as direct conduits to the agriculture sector and agrarian reform beneficiaries by channeling the funds specifically allotted by other banks for the program. This gives RFIs a critical role in the funding chain.

The BSP said RFIs eliminate the old practice of “layering” funding through several conduits before the proceeds are received by the targeted beneficiaries or intended projects.

The BSP reminded, however, that its accreditation is neither an endorsement to infuse funds to the RFI nor an affirmation of the soundness of its operations. The accreditation only establishes a bank’s focus on agri-agra lending. Financial institutions are expected to exercise due diligence and prudence when lending, depositing or investing in RFIs.

Banks that continue to fail to comply with the mandatory credit allocation would face monetary fines amounting to an annual penalty of one-half of one percent of amount of non-compliance or under-compliance as well as for delayed or amended reports and for false or misleading statements.

(To view the full article written by Lawrence Agcaoili, please click the link:http://www.philstar.com/Article.aspx?publicationSubCategoryId=66&articleId=794654)

CL 753: Unification of the Statutory/Legal and Liquidity Reserve Requirement

To all member RBs and partners, please be advised of Circular 753 or the Unification of the Statutory/Legal and Liquidity Reserve Requirement, Non-Remuneration of the Unified Reserve Requirement, Exclusion of Vault Cash and Demand Deposits as Eligible Forms of Reserve Requirement Compliance, and Reduction in the Unified Reserve Requirement Ratios

For completeness/clarity’s sake, we have embedded the full text below for your information and perusal. However, if you wish to secure a copy of the circular, kindly download the file from our slideshare account.

C753 

View more documents from RBAPAT54

 

The Monetary Board, in its Resolution Nos. 1924 dated 27 December 2011, 164 dated 2 February 2012, and 475 dated 22 March 2012, approved the following guidelines on the statutory/legal and liquidity reserve requirements of universal/commercial banks (UBs/KBs), thrift banks (TBs), rural banks (RBs), cooperative banks (Coop Banks), and non-bank financial institutions with quasi-banking functions (NBQBs).

Section 1.  The provisions of the Manual of Regulations for Banks (MORB) on reserves against deposit and deposit substitute liabilities are hereby amended to read, as follows:

“Subsection X253.1 Required reserves against deposit and deposit substitute liabilities. The rates of required reserves against deposit and deposit substitute liabilities in local currency of banks shall be as follows:

 

Account UBs/KBs TBs RBs/Coop Banks
a. Demand Deposits 18 6 4
b. “NOW” Accounts 18 6 4
c. Savings Deposits 18 6 2
d. Time Deposits, Negotiable CTDs, Long-Term Non- Negotiable Tax Exempt CTDs 18 6 2
e. Long-term Negotiable Certificate of Time Deposits (LTNCTDs) 3 3 3
f. Deposit substitutes (DS) 18 6 n.a
g. DS evidenced by repo agreements 2 2 n.a
h. IBCL (Sec. X343) 0 0 0
i. Bonds 4 4 n.a.
j. Mortgage/CHM Certificates n.a. 4 n.a.
k. Peso deposits lodged under Due to foreign banks 18 n.a. n.a.
l. Peso deposits lodged under  Due to Head Office/Branches/Agencies Abroad (Philippine branch of a foreign bank) 18 n.a. n.a.

“Item “g” refers to deposit substitutes evidenced by repo agreements covering government securities up to the amount equivalent to the adjusted Tier 1 capital of the bank: Provided, That such rate shall apply only to repo agreements, the documentation of which conforms with, and were delivered to a BSP-accredited third-party custodian as required under existing BSP regulations.

“Items “k” and “l” refer to peso deposits, except those utilized as capital, of foreign banks (including Head Office/Branches/Agencies abroad of local branches of foreign banks) booked under the “Due to Foreign Banks” and “Due to Head Office/Branches/Agencies Abroad” accounts as provided under Circular No. 231 dated 21 March 2000. (Annex A) (As amended by Circular Nos. 732 dated 3 August 2011, 726 dated 27 June 2011, 632 dated 19 November 2008, 551 dated 17 November 2006 and 539 dated 09 August 2006).”

 

“ Subsection X253.2 (Reserved)

 

“Section X254  Composition of Reserves

 

“a. Composition of Required Reserves.  The required reserves shall be kept in the form of deposits placed in banks’ Demand Deposit Accounts (DDAs) with the BSP.

 

“b. Transitory Provisions. Banks may continue to utilize the following as eligible forms of compliance with the reserve requirement in accordance with the following guidelines:

 

“i. Government securities. Government securities which are used as compliance with the regular and/or liquidity reserve requirement as of the effectivity of [this Circular], shall continue to be eligible as compliance with the reserve requirement until they mature.

“For purposes of this Section, government securities which may form part of the reserves against deposits/deposit substitute liabilities of banks shall refer to bonds or other evidences of indebtedness representing direct obligations of the Government of the Republic of the Philippines: Provided, That such securities shall have the following minimum features/conditions:

“(1) The securities must bear an interest rate of not more than four percent (4%) per annum, must be non-negotiable and shall carry BSP support;

“(2) The amount, maturity date and rate of interest must be definite and stated in the certificate itself; and

“(3) The government securities may not be hypothecated or encumbered in any way or earmarked for any other purpose.

“The government securities held as reserves under Item “b.i” above shall be valued at cost of acquisition and the bank may freely alter its composition: Provided, That any substitution or acquisition satisfies the eligibility requirements prescribed above: Provided, further, That the bank notifies the BSP of any such change in the prescribed forms not later than the reporting day following the change.

“Only the buying/lending bank in a resale agreement covering eligible government securities may use such securities as reserves against deposits/deposit substitutes.  Conversely, the selling/borrowing bank in a repo agreement covering eligible government securities may not use such securities as reserves against deposits/deposit substitutes.

“The reserve eligibility of government securities used as collateral in the reverse repo operations of the BSP shall be suspended during the term of the reverse repo agreement.

“The phrase non-reserve eligible shall be stamped on the face of the custodian receipt being issued by the BSP to buyer FIs.

“ii. Reserve Deposit Account. Deposit placements that are maintained by banks in the Reserve Deposit Account (RDA) with the BSP, which are used as compliance with the liquidity reserve requirement as of the effectivity of [this Circular], shall continue to be eligible as compliance with the reserve requirement until they mature.

“The RDA facility shall be discontinued and the BSP shall no longer accept new RDA placements from banks upon the effectivity of [this Circular].

“Outstanding placements in the RDA facility on the effective date of [this Circular] shall be paid interest at maturity based on existing regulations.

“iii. Cash in vault (CIV). Banks’ existing CIV shall be eligible as compliance with the reserve requirement until the effectivity of [this Circular].  Henceforth, such mode of compliance shall no longer be allowed.

“The CIV component of available reserves shall be based on the actual CIV balance outstanding with a one (1)-banking-day lag, for purposes of computing the reserve position of the current day. (As amended by Circular Nos. 551 dated 17 November 2006 and 539 dated 09 August 2006)”

“ xxx

“Subsection X254.3 Interest income on reserve deposits. Deposits maintained by banks with the BSP in compliance with the reserve requirement shall no longer be paid interest upon the effectivity of [this Circular].

“ xxx

“ Subsection X405.5 Reserves against peso-denominated common trust funds and trust and other fiduciary accounts – others

“a.   Reserves against peso-denominated CTFs. xxx

The required reserves against peso-denominated CTFs and such other managed peso funds which partake of the nature of a collective investment of peso- denominated CTFs shall be as follows:

“UBs/KBs –  18%

“ TBs – 7%

“RBs – 3%”

 

“b.   Reserves against TOFA – Others. xxx

“The required reserves against TOFA – Others shall be as follows:

 

“ UBs/KBs – 15%
“ TBs – 7%
“ RBs – 3%”

 

(As amended by Circular Nos. 551 dated 17 November 2006 and 539 dated 09 August 2006)

“Subsection X405.6 Composition of reserves

 

“The provisions of Sec. X254 shall govern the composition of reserves against peso-denominated CTFs and such other managed peso funds, as well as reserves against TOFA-Others, of banks authorized to engage in trust and other fiduciary business.

“ For purposes of this Subsection, a separate deposit account shall be maintained by banks with the BSP exclusively for trust reserves.  Deposits maintained by banks authorized to engage in trust and other fiduciary business with the BSP in compliance with the reserve requirement shall no longer be paid interest upon the effectivity of [this Circular].”

 

Section 2.   The following appendices of the MORB are hereby deleted.

 

Appendix No. Title
15 List of Reserve-Eligible and Non-Eligible Securities
54 Details on the Computation of Quarterly Interest Payments Credited to the Demand Deposit Accounts of Banks’ Legal Reserve Deposits with BSP
71 Guidelines for the Change in the Mode of Compliance with the Liquidity Reserve Requirement

 

Section 3.  The provisions of the Manual of Regulations for Non-Bank Financial Institutions (MORNBFI) on reserves are hereby amended to read, as follows:

“ xxx

 

“Sec. 4253Q (2008 – 4246Q) Reserves Against Deposit Substitutes. NBQBs shall maintain required reserves equivalent to 18% of deposit substitute liabilities as defined in Section 95 of R.A. No. 7653, regardless of maturities except: (a) borrowings from the BSP through the sale of government securities under repo agreements made in connection with the provisions of Sec. 4601Q; (b) deposit substitutes arising from special financing programs of the Government and/or international FIs; (c) interbank call loan transactions under Sec. 4343Q; and (d) bonds under Sec. 4239Q for which the reserve requirement shall be four percent (4%).

“Provided, That deposit substitutes evidenced by repo agreements covering government securities up to the amount equivalent to the adjusted Tier 1 capital of the NBQB shall be subject to the reserve requirement of two percent (2%): Provided, further, That such rate shall apply only to repo agreements, the documentation of which conforms with, and were delivered to a BSP accredited third party custodian as required under existing BSP regulations. (As amended by Circular Nos.732 dated 3 August 2011, 726 dated 27 June 2011 and 632 dated 19 November 2008)”

 

“Section 4254Q (2008-4246Q.1)  Composition of Reserves.

 

“a.  Composition of Required Reserves. The required reserves shall be kept in the form of deposits placed in NBQBs’ Demand Deposit Accounts (DDAs) with the BSP.

“b. Transitory Provisions. NBQBs may continue to utilize the following as eligible forms of compliance with the reserve requirement in accordance with the following guidelines:

“i. Government securities. Government securities which are used as compliance with the regular and/or liquidity reserve requirement as of the effectivity of [this Circular], shall continue to be eligible as compliance with the reserve requirement until they mature.

 

“ For purposes of this Section, government securities which may form part of the reserves against deposit substitute liabilities of NBQBs shall refer to bonds or other evidences of indebtedness representing direct obligations of the Government of the Republic of the Philippines having the following minimum features/conditions:

 

“(1)  The securities must bear an interest rate of not more than four percent (4%) per annum, must be non-negotiable and shall carry BSP support;

“(2) The instrument must expressly state on its face the amount, maturity date and interest rate of the obligation; and

“(3) The government securities may not be hypothecated or encumbered in any way or earmarked for any other purpose.

 

“The government securities held as reserves under Item “b.i” above shall be valued at cost of acquisition and the NBQB may freely alter its composition: Provided, That any substitution or acquisition satisfies the eligibility requirements prescribed above: Provided, further, That the NBQB notifies the BSP of any such change not later than the reporting day following the change.

 

“Only the buying/lending NBQB in a resale agreement covering eligible government securities may use such securities as reserves against deposit substitute liabilities. Conversely, the selling/borrowing NBQB in a repo agreement covering eligible government securities may not use such securities as reserves against deposit substitutes.

“ The reserve eligibility of government securities used as collateral in the reverse repo operations of the BSP shall be suspended during the term of the reverse repo agreement.

“The phrase non-reserve eligible shall be stamped on the face of the custodian receipt being issued by the BSP to buyer FIs.

 

“ii. Reserve Deposit Account. Deposit placements that are maintained by NBQBs in the Reserve Deposit Account (RDA) with the BSP, which are used as compliance with the liquidity reserve requirement as of the effectivity of [this Circular], shall continue to be eligible as compliance with the reserve requirement until they mature. Deposit placements of NBQBs in the RDA shall no longer be paid interest upon the effectivity of [this Circular].

“The RDA facility shall be discontinued and the BSP shall no longer accept new RDA placements from NBQBs upon the effectivity of [this Circular].

 

“Outstanding placements in the RDA facility on the effective date of [this Circular] shall be paid interest at maturity based on existing regulations.

 

“iii. Demand deposits maintained with banks. Demand deposits maintained with banks which are not restricted as to withdrawal or use for current operations but not with banks which have been closed and are under receivership or liquidation shall be eligible as compliance with the reserve requirement until the effectivity of [this Circular].   Henceforth, such mode of compliance shall no longer be allowed. (As amended by Circular Nos. 551 dated 17 November 2006 and 539 dated 09 August 2006)”

 

“ xxx

“Subsection 4254Q.3 (2008-4246Q.7) Interest on reserve deposits with Bangko Sentral.

 

Deposits maintained by NBQBs with the BSP in compliance with the reserve shall  no longer be paid interest upon the effectivity of [this Circular].”

“ xxx

 

“ Subsection 4405Q.5  Reserves against peso-denominated common trust funds and trust and other fiduciary accounts (TOFA) – Others

 

“ a.   Reserves against peso-denominated CTFs.  xxx

“ The reserves to be maintained shall be 18%.
“b. Reserves against TOFA – Others.  xxx

“ The reserves to be maintained shall be 15%.”

 

(As amended by Circular Nos. 551 dated 17 November 2006 and 539 dated 09 August 2006)
“Subsection 4405Q.6 Composition of reserves

 

“The provisions of Sec. 4254Q shall govern the composition of reserves against peso-denominated CTFs and such other managed peso funds, as well as reserves against TOFA-Others of institutions authorized to engage in trust and other fiduciary business.

 

“ For purposes of this Subsection, a separate deposit account shall be maintained by the institutions with the BSP exclusively for trust reserves which deposits in compliance with the reserve requirement shall no longer be paid interest upon the effectivity of [this Circular].”

Section 4.   The following appendices of the MORNBFI are hereby deleted.

 

Appendix No. Title
Q-9 List of Reserve-Eligible and Non-Eligible Securities
Q-27 Details on the Computation of Quarterly Interest Payments Credited to the Demand Deposit Accounts of Quasi-Banks’ Legal Reserve Deposits with BSP
Q-41 Guidelines for the Change in the Mode of Compliance with the Liquidity Reserve Requirement

 

Section 5.  Repealing Clause.   The provisions of all other circulars, rules and regulations contrary to or inconsistent with the provisions of this Circular are hereby repealed, amended and/or modified accordingly.

This Circular shall take effect on the reserve week starting on 6 April 2012.

 

Know your local RB: Cantilan Bank, Inc.

The name Cantilan might not ring a bell for some, but this town on the fringe of Surigao del Sur boasts of impressive postcard-worthy backdrop of unspoiled beaches and structures dating back to Spanish times.  Aside from these, Cantilan is also home to one particular rural bank, which continues to heed the growing demands of the local community and other surrounding environs.

Named after the town where it was established, Cantilan Bank, Inc. first opened on the 8th of June 1980 in Barangay Magsilom.  Since then, the bank has slowly yet steadily increased its number of branches.  At the latest, Cantilan has 14 branches and 22 field offices  in scenic coastal towns of Hinatuan in Surigao del Sur, San Franciso in Agusan del Sur, Tagum City and many more in Northern Mindanao; the most recent opened on March 28, 2011.  Currently, several Cantilan branches are undergoing security and aesthetic enhancements in compliance with official requirements and, to suit the changing tastes of their niche clients.

Cantilan Bank, Inc. has many wide-ranging services that clients, depositors and borrowers can avail.    Deposit, savings, remittance services, etc. are of course included, with other inventive micro loan products like Kita Loan (Individual loan) Makita Loan (Group Loan), BEL Micro (Business Enterprise Loan) Housing Microenterprise for Entrepreneurs (HOME), Pag – uma Loan, Pang Eskewela Loan (PEL) and PhoneKit Financing. One of the most eye-catching is the SSC, otherwise known as the Student Savers Club.  Those who open an account are provided with giveaways like dolls, lunch boxes and other colourful items that kids will surely treasure.

With the services “tailor fit” to suit the needs of locals, farmers, entrepreneurs and students, it is then not surprising to hear one satisfied customer’s upbeat comment after attending a session on mobile banking: “Iba talaga ang Cantilan.”

Well, iba talaga ang rural bank.  Friendly, personalized, innovative.

That’s rural banking for you.

 

 

AMLA Seminar: BSP Cir 706 -UARR – Apr 13, 2012

FOR	: ALL PARTICIPATING RURAL BANKS

FROM  	:  MA. CORAZON L. MILLER, Chairman

SUBJECT	:   AMLA SEMINAR :BRIEFING ON BSP CIR. 706 - UPDATED AML RULES AND
REGULATIONS

Dear Fellow Rural Bankers:

The Rural Bankers Association of the Philippines (RBAP), through the Rural
Bankers’ Research and Development Foundation, Inc. (RBRDFI), will conduct
a seminar described below as part of its continuing strategy to strengthen
the rural banking industry:

Course Title:	AMLA Seminar
		       Briefing on BSP Cir. 706 : Updated  AML Rules and Regulations

Speaker :	       ATTY.  MEL GEORGIE B. RACELA, CPA, LLB, LIM
                       Dep. Dir. and Head of AMLSG , Banko Sentral ng
Pilipinas

Venue:	       RBAP Conference Room, RBAP Bldg., A. Soriano Ave., cor.
	         	Arzobispo St., Intramuros, Manila

Schedule:	       13 April 2012 (Friday) 1 day (9:00AM-4:30PM)

Participants:	President, Directors, Compliance Officer,
	               Internal Auditors, Managers

Part of the training requirement, participants are expected to read
beforehand the BSP Circular No. 706 dated 5 January 2011 otherwise known
as the Updated AML Rules and Regulations (UARR).  Copy of the  BSP
Circular 706 is attached for your reference.

Registration Fee
a)	One Thousand Eight Hundred Pesos only (P1, 800.00).♣
b)	Early bird registrants (those who pay the full amount on or before
March 23, 2012 are entitled to a 5% discount or PhP1, 710.00.
c)	Non-member rural banks will be charged thrice the regular registration
fee. To avail of the regular registration fee, non-member banks are
encouraged to apply for membership with RBAP/RBRDFI. Please call RBAP for
details.

For your reservations, kindly observe our training policies:

1.	Deadline for submission of registration is not later that April 09, 2012.
a)	Nomination form of the participant(s) duly endorsed by the bank’s
authority
b) Filled-up Participant’s Profile.
2.	A Non-Refundable commitment fee of P900.00 per participant (50% of the
registration fee). Payments can be remitted to the Rural Bankers Research
and Development Foundation, Inc. bank account (Land Bank of the
Philippines – Intramuros Branch Savings Account Number 0012-1046-26).
Proof of payment (i.e., deposit slip) should be sent immediately
verification at (02) 527-2980. Check payments, should be payable to Rural
Bankers Research and Development Foundation, Inc. (RBRDFI)
3.	Reservation via telephone conversation is accepted. However,
Registration Form and fee must be settled 10 days prior the seminar date
or March 30, 2012. Otherwise, reservation is considered cancelled.
4.	Cancellation Policy:
a)	10 days prior the seminar date is entitled for a full refund. *
b)	5 days prior to the seminar date is entitled for a half refund
c)	Participants who have paid but failed to show up for the seminar will
only be entitled to a rebate of 50% of the total registration fee.
d)	For special cases (health, accident etc.), kindly coordinate with
RBRDFI staff for refund procedures and requirements.

Acceptance of reservation is on first come first-served basis; only thirty
(30) participants will be accommodated per session.

For your reservation, please call RBRDFI Training Officers:

Mr. Ace M. Calang     
Ms. Grace Dimapilis.       
Ms. Jesica Cepeda

Contact details: (02) 527-2969, 527-2980; 09178374604; 09178374603; 
09178374599
      
Emails:   training@rbap.org,  grace@rbap.org, cepedajesica_rbap@yahoo.com

Please note that this is a live-out seminar.

Thank you very much.

Download Participant's Profile Sheet in PDF 

Holy Week Observance

In solemn observance of the Holy Week, please be informed that the RBAP  office in Intramuros will be closed starting April 4, Wednesday.  All official services and transactions will resume on April 10, Tuesday.

For those with pending appointments, we advise all to contact the main office before closing time on April 3, Tuesday.

For other matters, please send your queries to info@rbap.org

Please be guided accordingly.

Call for nominations for the 1st Paeng Microfinance Awards

On behalf of the Rafael Buenaventura Foundation, we would like to invite all member RBs and partners to support and participate in the first ever Rafael Buenaventura Awards for Outstanding Microfinance Institutions.  In partnership with the Bangko Sentral ng Pilipinas, Microenterprise to Banking Services (MABS-USAID), Microfinance Council of the Philippines and PinoyMe Foundation, this prestigious award is in honor of the late BSP Governor Paeng Buenaventura, who believed that microfinance had a positive transformational impact in the fight against poverty.

This award will be given to 5  MFIs for their pioneering work.  Pioneering, as defined by the Rafael Buenaventura Foundationcan be typified as a product, service or delivery mechanism that has been refined or innovated and introduced for the first time or, an entry to a remote place or community that has yet to be served by microfinance.

For more details on the eligibility requirements, we encourage all to kindly click the following link: http://rbb.bapcb.com/ or, download the attached jpeg files below.

Many thanks and please support this worthwhile endeavour.

 

 

Call for Proposals: Social Marketing Campaign for Rural Banks and their Low-Income Clients

REQUEST FOR PROPOSALS

RBAP MICROINSURANCE INITIATIVE

Social Marketing Campaign for Rural Banks and their Low-Income Clients

Background:

The primary objective of the Social Marketing Campaignis to effectively teach rural bank clients on microinsurance product features and to positively change their behavior towards microinsurance.

The consultant, in coordination with the RBAP Microinsurance Team, shall provide professional services for developing a Microinsurance client education and social marketing modules and tools and shall meet the following deliverables:

  1. Provide guidelines for the market assessment and project framework to serve as basis for the design of the Campaign materials and tools
  2. Microinsurance Social Marketing Campaign materials and tools for use by rural bank staff with their clients (may include posters, standees, brochures, video, etc.)
  3. Training of Trainers module with trainers guide and appropriate instructional tools and materials
  4. Conduct of a 1-day Training of Trainers with RBAP Microinsurance Team Members and selected rural bank representatives on the effective use of the Campaign materials and tools
  5. Brief report of not more than 10 pages on the results of the Microinsurance Social Marketing Campaign documenting effective strategies employed and lessons learned

The effective date of this engagement is on April 10, 2012 and the completion date is at the close of business on June 15, 2012.

For a detailed description of the project, you may download the scope of work here.

 

Please send your proposal to:

Ms. Ruth Aseron, Microinsurance Coordinator, RBAP-MABS Program, at microinsurance@rbapmabs.org by close of business on March 29, 2012. Include relevant work experience and proposed budget, which includes items for personnel, travel, materials, etc.

 

Advisory on New Transaction Codes

To all Compliance Officers

Please be advised that 58 new transaction codes identified by various covered institutions were approved by the undersigned on 15 March 2012, pursuant to an authorization from the AMLC. These additional transaction codes have been incorporated in the AMLC transaction codes library and are available for use by the covered institutions.

On 21 March 2012, the Council issued Resolution No. 34, series of 2012, approving the deletion of eight (8) transaction codes (Annex A) and the amendments to the titles/definitions of 24 transaction codes in the revised list of AMLC transaction codes (Annex B); and authorizing the Secretariat to evaluate and approve any subsequent requests for deletions and amendments to the revised list of transaction codes, with notice to the Council.

The Council likewise noted the inclusion of additional transaction codes as described in Annex C of the Resolution.

The approved Resolution and its Annexes are posted on the AMLC Portal. Requests for copies of the Annexes in Excel format should be coursed through the Information Management and Analysis Group, AMLC Secretariat, via email to Mr. George C. Tan, Deputy Director at: gtan@bsp.gov.ph or Ms. Mylene C. Meneses, Bank Officer III, at: menesesmc@bsp.gov.ph. 

For information, reference and guidance.

 

VICENTE S. AQUINO

Executive Director