Official Publication of the Philippine Information Agency Bicol Regional Office, in cooperation with the RIAC-REDIRAS - RDC Bicol

Monday, January 25, 2016

Banks remind public on demonetization of old banknotes

VIRAC, Catanduanes, Jan. 25, (PIA) -- Government and commercial banks in Catanduanes have since reminded the public on the existing demonetization process being implemented by Bangko Sentral ng Pilipinas (BSP).

Catanduanes Bankers Association (CABA) member bank, Development Bank of the Philippines headed by Engr. Tranquilino Lasala said that the old bank note series launched in 1985 can still be exchanged in authorized agent banks and the BSP Cash Department.

According to Engr. Lasala, effective January 01, 2017, the old banknote series will have no monetary value which means that the New Generation Banknotes introduced in December 2010 which have more and enhanced security features will be the only currency series in the country.

This process of demonetization is pursuant to the provisions of Section 57 of Republic Act No. 7653 also known as the Central Bank Act which authorizes BSP in replacing banknotes that are more than 5 years old.

 The following are additional reminders from BSP:

1.      The old banknotes are no longer accepted for payment transactions starting January 01, 2016.

2.       From 1 January 2016 to 31 December 2016, the public may exchange with authorized financial institutions, namely universal and commercial banks, thrift banks, and rural as well as cooperative banks, their old banknotes with the New Generation Currency (NGC) Series at full face value, without charge.  The public may also opt to exchange their old banknotes with the BSP or any of its regional offices/branches around the Philippines.

3.       Government institutions holding old banknotes in which could not be exchanged during the prescribed period, such as banknotes used as evidence in a litigation case, will have to request the BSP Cash Department in writing, within the period of exchange, for a special exchange arrangement;

4.       For Overseas Filipinos (OFs) abroad, who have in their possession old banknotes which could not be exchanged within the prescribed period, they may register online starting 1 October 2016 to 31 December 2016 through the BSP Website.  These old banknotes may be exchanged with the BSP within one (1) year from  date of registration; and

5.       Starting 1 January 2017, NDS banknotes that have not been exchanged shall no longer have any monetary value, and are considered demonetized.

The old banknotes have been in circulation for three decades. (MAL/EAB-PIA5/Catanduanes)

- See more at: http://news.pia.gov.ph/article/view/841453857179/banks-remind-public-on-demonetization-of-old-banknotes#sthash.VLGquq2M.dpuf

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