Philippine central bank urges payment providers to enhance fraud vetting

Philippine central bank: The Philippine central bank, formally the Bangko Sentral ng Pilipinas (BSP), is the country's monetary authority responsible for maintaining price stability, supervising financial institutions, and regulating the payments ecosystem. It recently urged electronic payment providers to enhance merchant vetting and screening to combat fraud linked to disguised illegal operations on digital platforms. The statement aligns with the BSP's ongoing efforts to strengthen consumer protections amid evolving risks in the digital payments space. Fraud Prevention: Recent surveillance uncovered thousands of accounts on payment platforms tied to illegal online casinos and other illicit businesses operating under innocuous names like beauty salons and bakeries. Merchant Screening: The central bank is advancing draft rules that place greater responsibility on payment service providers to collect detailed merchant information, such as owner details and licenses, while maintaining databases of legitimate merchants. Regulatory Framework: The BSP continues to refine its oversight of payment systems to better trace transactions, curb money laundering, and protect consumers without impeding the expansion of legitimate digital payments.