In the Philippines, the Financial Products and Services Consumer Protection Act (Republic Act No. 11765) requires banks and other financial service providers to disclose all relevant information concerning financial products and services. This law ensures transparency and protects the rights of financial consumers by mandating the disclosure of terms, conditions, and other pertinent details1.
In the Philippines, Republic Act No. 11765, also known as the Financial Products and Services Consumer Protection Act, requires banks and other financial service providers to disclose all relevant information concerning financial products and services.
Key Stipulations of the Law:
Transparency and Disclosure: Financial service providers must ensure that all information about financial products and services is disclosed clearly and transparently. This includes terms and conditions, fees, charges, and any potential risks associated with the product or service.
Consumer Rights: The law protects several rights of financial consumers, including:
Right to equitable and fair treatment
Right to disclosure and transparency
Right to protection of consumer assets against fraud and misuse
Right to data privacy and protection
Right to timely handling and redress of complaints.
Regulatory Oversight: The Bangko Sentral ng Pilipinas (BSP), Securities and Exchange Commission (SEC), Insurance Commission (IC), and Cooperative Development Authority (CDA) are tasked with enforcing the provisions of this law. They have the authority to issue regulations, conduct market surveillance, and enforce compliance.
Consumer Complaints: Financial service providers are required to have mechanisms in place for the effective handling and resolution of consumer complaints.
This law aims to foster consumer confidence in the financial market and ensure the stability of the Philippine financial system by promoting fair and sound market conduct.
Is there a specific aspect of this law you are particularly interested in?
Additionally, the Truth in Lending Act (Republic Act No. 3765) specifically requires the disclosure of finance charges and other related information in connection with the extension of credit.
Source: Ziggurat Real Estate
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