Guidelines on Activities Requiring Notification by the Pawnshop Operator
BSP Memorandum No. M-2017-006 outlines the notification guidelines for pawnshop operators in the Philippines, as mandated by the Bangko Sentral ng Pilipinas (BSP). Operators must notify the BSP of key activities such as commencing operations, establishing additional branches, relocating, or voluntarily closing a pawnshop, using prescribed forms and within specified timeframes. Notifications must be signed by authorized personnel and accompanied by necessary documents, including payment of applicable fees. Failure to notify within the stipulated deadlines can result in penalties or cancellation of operating authority. Compliance with these guidelines is essential for maintaining lawful operations in the pawnshop business.
February 22, 2017
BSP MEMORANDUM NO. M-2017-006
| TO | : | All Pawnshops |
| SUBJECT | : | Guidelines on Activities Requiring Notification by the Pawnshop Operator |
Pursuant to Monetary Board Resolution No. 2061 dated 17 November 2016, approving the Amendments to the Manual of Regulations for Non-Bank Financial Institutions (MORNBFI)-Pawnshop (P) with the issuance of Circular No. 938 dated 23 December 2016 and Memorandum No. M-2017-003 dated 27 January 2017, the following guidelines shall govern the implementation of the pertinent provisions of the MORNBFI-P Regulations on the activities requiring notification to the Bangko Sentral ng Pilipinas (BSP).
I. General Guidelines
A. Authorized Signatory
The Pawnshop Operator shall be responsible in notifying the Integrated Supervision Department I (ISD I), BSP on the following activities within the prescribed deadline of submission:
1. Commencement of Pawnshop Operations
2. Establishment of Additional Pawnshop Office/Branch
3. Transfer/Relocation of Business
4. Voluntary Closure of a Pawnshop Office
The notification form shall be signed by the proprietor/managing partner/president or officer of equivalent rank and shall be accompanied by the necessary documentary requirements. The Pawnshop Operator shall ensure its completeness, reliability and conformity with the BSP-prescribed forms, if any. No notification shall be accepted from a person or entity other than the proprietor/partner/president unless the person or entity notifying the BSP in behalf of the proprietor/partnership/corporation submits a duly executed and notarized special power of attorney authorizing the person or entity. In the case of a corporate applicant, a certified true copy of the board resolution authorizing the person or entity shall likewise be submitted.
B. BSP-Prescribed Forms
All notifications shall be submitted using the following prescribed forms. Notifications not using the prescribed Data Entry Template/forms shall not be accepted.
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Notification
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Form
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Description
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Form 5P
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NOTIFICATION OF NEW PAWNSHOP OFFICE/BRANCH |
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Form 6P
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NOTIFICATION OF TRANSFER OF LOCATION |
C. Formal Receipt of Notification
The notifications shall be considered as formally received upon receipt of complete documents and the applicable fees have been paid. A P1,000 processing fee for each office included in the notification shall be collected from the pawnshop operator. Other fees such as metal plate fee of P500, replacement fee of P1,000, if applicable shall likewise be collected. CAIHTE
Payment of fees may be made through the following:
a. Cash Department located at Ground Floor Multi-Storey Building, BSP Complex, A. Mabini Street, Malate, Manila upon generation of Order of Payment at the ISD I Registration Counter or at any BSP Regional Offices/Branches as the case may be.
b. In the form of Manager's Check (MC) or Postal Money Order (PMO) payable to the Bangko Sentral ng Pilipinas sent through Registered mail or courier.
The complete documents including proof of payment of applicable fees may be submitted either through:
a. Personal filing at ISD I Registration Counter, Ground Floor Multi-Storey Building, BSP Complex, A. Mabini Street, Malate, Manila; or
b. Postal/Courier services addressed to:
The Director
II. Notification Procedures
A. Commencement of Pawnshop Operations
A pawnshop operator shall commence actual pawnshop business operations within six (6) months from the date of issuance of the Authority to Operate. Failure to commence actual pawnshop business operations within the aforementioned six (6)-month period shall render the BSP Authority to Operate as automatically cancelled. The pawnshop operator shall notify the BSP in writing of the start of operations within five (5) business days from the actual start of operations.
B. Establishment of Additional Pawnshop Office/Branch
The pawnshop operator shall notify the BSP regarding each and every pawnshop office it operates within five (5) working days from the start of each office's operations pursuant to Section 20 of Circular No. 938.
Notification guidelines:
1. The notification shall be submitted using the Data Entry Template (DET) prescribed form.
In using the DET, the following shall be observed:
a. Download the prescribed DET and User's Guide or request directly from BSP-ISD I thru email address [email protected]
b. Accomplish the prescribed DET and save using the file name "DET — Pawnshop Name" (example: DET — ABC Pawnshop).
c. The duly accomplished DET shall be submitted through e-mail address [email protected] using the prescribed format for the subject as follows:
<Application Type> - <Mode of Submission*>, <Province, City/Municipality* of Head Office>, <Name of Pawnshop> as illustrated below:
Illustration
To: [email protected]
Subject: Establishment of Additional Offices — Personal, Metro Manila, Manila, ABC Pawnshop
* Mode of submission of documents, if through Personal filing (Personal) or Postal/Courier services (Mail)
** The city/municipality in the subject refers to the location of the head office.
The e-mail address to be used by the entity should belong to an authorized responsible officer. It shall be considered as the official e-mail address registered with BSP which shall be used for official communications.
d. Print the corresponding DET generated application Form 5P. Said Form 5P duly signed by the authorized signatory shall be submitted together with the documentary requirements listed in Annex A.
The pawnshop operator shall submit the documents/DET generated forms within five (5) working days from the date of the e-mail.
2. The BSP shall issue the corresponding Registration Number for each additional pawnshop office.
C. Transfer/Relocation of Business
A notice of transfer using the BSP-prescribed form (Form 6P) shall be submitted within five (5) working days after the effectivity of such transfer together with the following documentary requirements: DETACa
a. Certified true copy (by the Head of Business Permit and Licensing Office or equivalent position, with printed Name and Designation) of the business permit from the city/municipality having territorial jurisdiction over the place of establishment and operation;
b. Original Certificate of Authority (if the transfer involved the Head Office) or an affidavit in case of loss;
c. Original Certificate of Registration as FXD/MC and/or RA (if applicable);
d. Metal plate bearing the old address; and
e. Payment/proof of payment of applicable fees.
D. Voluntary Closure of a Pawnshop Office
A notice of closure using the BSP-prescribed form (Form 7P) of a pawnshop office shall be submitted within five (5) working days after the effectivity of such closure together with the following requirements:
a. Metal plate issued to pawnshop; and
b. Payment/proof of payment of unpaid fee/s, if any.
For guidance and compliance.
(SGD.) NESTOR A. ESPENILLA, JR.
Deputy Governor
FORM 5P
NOTIFICATION OF NEW PAWNSHOP OFFICE
ANNEX A
Notification of New Pawnshop Office
ANNEX A-1
REPUBLIC OF THE PHILIPPINES)
DEED OF UNDERTAKING
I, _____________________________ (name and designation), of legal age and under oath, declare the following:
That I have been duly authorized by ______________________________________ (company name) with principal address at _____________________________________ and contact details ______________________, and its Board of Directors/Partners/Owners to bind ______________________________________ (company name) to strictly comply with all the requirements, rules and regulations of the Bangko Sentral ng Pilipinas (BSP) regarding the licensing and operations of pawnshop business and other relevant laws, rules and regulations.
_____________________________________________ (company name) Board of Directors/Partners/Owners/Officers hereby understands, undertakes and ensures that:
1. I/We shall strictly comply with all the requirements, rules and regulations of the Bangko Sentral regarding the licensing and operations of pawnshop business as provided under Presidential Decree (P.D.) No. 114, Manual of Regulations for Non-Bank Financial Institutions-Pawnshop (MORNBFI-P) and BSP Memorandum No. M-2017-003 dated 27 January 2017;
2. The pawnshop office/s was/were established and shall operate within the framework and limitations of P.D. No. 114, MORNBFI-P, BSP Memorandum No. M-2017-003 dated 27 January 2017 and other applicable laws, rules and regulations.
__________________________1
__________________________
SUBSCRIBED AND SWORN to before me this _____ day of _________ 20__, in the City/Municipality of ______________________________________, by:
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Notary Public
Doc. No. _____
Page No. _____
Book No. _____
Series of 20___
FORM 6P
NOTIFICATION OF TRANSFER OF LOCATION
FORM 7P
NOTIFICATION OF VOLUNTARY CLOSURE OF A PAWNSHOP OFFICE
Footnotes
1. Supported with notarized special power of attorney authorizing a person/entity to act in behalf of the proprietor/partnership/corporation. In the case of a corporate applicant, a certified true copy of the board resolution authorizing the person or entity shall likewise be submitted.