(BILYONARYO) Banks might soon have to pay a six-digit fine for sending pre-approved credit cards to clients without prior consent.
Senator Jinggoy Estrada wants to institutionalize an existing Bangko Sentral ng Pilipinas policy through Senate Bill 2952 or the proposed Pre-Approved Credit Card Prohibition Act, which prohibits credit card issuers from sending out these pre-approved cards.
Under the measure, directors and officers of the card issuer will be fined P300,000 for the first offense, P500,000 for the second offense, and P800,000 for the third offense. Further, the bank’s license to operate a credit card business may also be revoked.
“May mali sa gawaing ito lalo na kung walang consent o pahintulot ang credit card user na mabigyan ng pre-approved credit card. Para sa walang disiplina sa paggastos, debt trap ito,” the senator said.
Estrada said clients cannot be bound by the terms and conditions of using a credit card if the issuing bank fails to prove their consent.
“Dapat igalang ng mga bangko at credit card companies ang karapatan ng mga indibidwal na magpasya sa kanilang mga financial transactions,” he said.