THE BANK of the Philippine Islands’ recent warning that clients could lose access to ATM and other electronic banking channels if they did not update their information had drawn flak, prompting BPI to apologize and clarify that the directive did not apply to all clients.
“Last Friday and over the weekend, BPI made two announcements requiring all our clients to update their information with us. We have subsequently received feedback from you and acknowledge that our announcements raised concerns,” BPI said in an advisory on Tuesday.
“We sincerely apologize for the inconvenience this has caused you,” the 165-year-old bank, Southeast Asia’s oldest, said.
Over the weekend, BPI issued an advisory saying clients must update their information by filling out and signing a customer information sheet (CIS) and Foreign Account Tax Compliance Act (Fatca) form.
The Fatca is an offshoot of the crackdown by the United States on tax evasion by its citizens who live or do covert business overseas. On an annual basis, banks and other financial institutions that trade US treasuries are required to report information on financial accounts held directly or indirectly by “US persons.”
Apart from accomplished CIS and Fatca forms, clients are required to submit a photocopy of a valid recent photo ID.
Many clients panicked as they got the impression they would be cut off from ATM, online and mobile channels if they did not submit the information soon enough. Some turned to social media to air their sentiments.
The original deadline for clients to submit the requirements—which BPI said was in line with a Bangko Sentral ng Pilipinas circular—was on Aug. 31, which was extended to Sept. 30.
Yesterday, BPI clarified the recent announcements applied “only to a limited number of individuals, with whom we have already communicated separately.”
Asked to elaborate, BPI head of customer experience Randy Maranan said: “The specific individuals referred to in the Aug. 30, 2016, advisory comprise a very small fraction of the bank’s clients. They are those who, in spite of repeated attempts on our part to get in touch with them, have neither replied to nor made any contact with us.”