Folded banknotes usable for transactions: BSP


Posted at Jul 11 2022 11:26 PM

MANILA—The Bangko Sentral ng Pilipinas (BSP) on Monday said folded banknotes, whether paper or polymer, are valid and can be used for transactions.

"As such, retailers and banks should accept them for day-to-day payment transactions," the BSP said in a statement.

Reports of establishments rejecting P1,000 new polymer banknotes surfaced on social media earlier. Some establishments supposedly did not accept them due to their folded condition.

"Recently, the BSP issued guidelines on the proper handling of polymer banknotes. This includes storing banknotes in wallets where they fit properly (the typical bi-fold wallet fits this criteria), keeping them clean, and using them as payment for goods and services," the central bank said.

"The BSP stresses that the above guidelines apply to both paper and polymer banknote. The handling guidelines were issued to raise public awareness on the proper use of polymer and paper banknotes to safeguard their integrity and prolong their lifespan," it said.

The BSP said the public can go to any bank for assistance if they doubt the authenticity of a banknote.

SM Supermalls earlier assured customers they can use folded bank notes to pay for purchases in its retail stores. 

"Only those that are mutilated - stapled and ripped caused by removal of staple wire - will be deemed unfit and not accepted. Our policy has considered the guidelines set by the Bangko Sentral ng Pilipinas," it said in a statement.

SM warned Filipinos against "misleading social media posts" regarding the issue.