Long ATM lines ahead? BSP urges Filipinos to give ‘e-aguinaldo’

National

WITH long lines at banks and ATMs a familiar sight during the Christmas season, the Bangko Sentral ng Pilipinas (BSP) is promoting the use of “e-aguinaldo,” urging the public to send cash gifts digitally instead of handing out paper money.

In an advisory issued on Monday, Dec. 22, the central bank said e-wallets and online banking platforms provide a convenient option for sending cash to godchildren, relatives, and friends, particularly as bank branches and automated teller machines experience heavier traffic during the holidays.

The BSP also reminded the public that BSP-authorized banks offer free exchange of unfit or worn banknotes.

It cautioned consumers against dealing with unauthorized individuals or groups that charge fees for currency exchange services.

To help address the seasonal increase in cash requirements, the BSP said fresh banknotes and coins have been made available through banks nationwide.

Digital finance continues to gain ground in the Philippines.

Surveys in recent years indicate that most Filipinos now rely on e-wallets for routine transactions such as payments, fund transfers, and online shopping.

For many users, these platforms serve as their first formal financial account, largely due to easier account opening compared with traditional banks.

Data released by the BSP in 2024 show that digital payments now account for more than half of all retail transactions in the country by volume.

However, the growing use of digital payment channels has also been accompanied by rising fraud risks. According to a report by a global anti-scam alliance, Filipinos lost an estimated P280 billion to scams over the past year, with many cases linked to digital wallets, online transfers, and other electronic payment systems.(MyTVCebu)