Travelers now have to declare travelers’ checks

Travelers coming to or leaving the country will now have to declare not only foreign currency in their possession but also foreign-currency denominated bearer instruments such as travelers checks.

The Bangko Sentral ng Pilipinas (BSP) has expanded the coverage of its declaration requirement to include not only cash but also foreign currency-denominated bearer monetary instruments.

The new rule effectively tightened the inflow and outflow of foreign currency and foreign-currency denominated bearer instruments in compliance with the requirements of the Financial Action Task Force on Anti-Money Laundering.

The BSP issued the new circular yesterday, saying that anyone bringing in or taking out foreign currency and foreign currency-denominated instruments would have to make a declaration.

The BSP explained that existing rule required any person who brings into or takes out of the Philippines foreign currency in excess of $10,000 or its equivalent in other foreign currency, to make a written declaration.

Under the new circular, this rule has been further expanded to include foreign exchange-denominated bearer monetary instruments.

Under the new rules, the BSP said "foreign exchange-denominated bearer monetary instruments" referred to foreign exchange-denominated instruments in bearer form.

These instruments include those that may be passed to another by endorsement, assignment or delivery such as travelers’ checks, other checks, drafts, notes, money orders, bonds, deposit certificates, securities, commercial papers, trust certificates, custodial receipts, deposit substitute instruments, trading orders, transaction tickets and confirmation of sale/investment.