Bank account and transfers in philippine pesos (PHP)

Deposits of Philippine bank customers are well protected by the Philippine Deposit Insurance Corporation (PDIC). The maximum coverage is 500,000 Philippine pesos per depositor per bank, regardless of the number of accounts opened.

What do I need to open a bank account in PHP?

The requirements for opening a Philippine Peso bank account will differ for individuals and businesses. To open an account, the user must be present in person at the bank and have the required documentation package, which may vary depending on the bank selected. However, most banking institutions require only a valid ID to open an account. The role of identification can be a passport, driver's license, ID card, or any other document issued legally.

Please note: Although the Central Bank of the Philippines has reduced the number of documents required to open an account from two to one, some banks may still require two documents.

Citizens of the country and foreign residents can open a bank account for Philippine peso transactions if certain conditions are met, including those with only a temporary tourist visa. Before 2016, non-residents could open a foreign currency deposit account or a Philippine peso bank account funded only with fiat deposits converted into PHP. However, new rules have since been introduced to allow non-residents to fund open accounts from other sources:

• Revenues in pesos from services rendered, wages received, allowances and other payments;
• Proceeds received from the sale of real estate;
• Savings of foreign students studying in the Philippines for at least a semester;
• Pesos proceeds from the sale of shares listed in the Philippine Stock Exchange (PSE);
• Other funds of non-residents in Philippine pesos.

Non-residents must present the following documents to open an account:

• Alien Certificate of Registration (ACR) and passport. In the absence of ACR, a non-resident may present an Immigrant Certificate of Registration (ICR) or any other identification document, but this may require a face-to-face meeting with the bank manager;
• Two photographs — the same as for a passport;
• Proof of address. For example, a non-resident can provide a utility bill or a residential lease agreement;
• Recommendation from a bank of the country of which the non-resident is a citizen or permanent resident. In this case, there are two ways to go about it: providing a written recommendation or requesting a direct link between the banks.

Once all the required documents are submitted and approved by the bank, the account will be opened, and the user can make all available transactions with Philippine pesos.

If the user is outside the Philippines and needs to transact with PHP, they can find a local bank supporting transactions with this currency. However, it is essential to note that the bank will charge a conversion fee.

Where can you open a bank account for Philippine Peso (PHP) transactions?

It is best to favor large Philippine banks as they will be the most reliable. Also, you must ensure that the Philippine Deposit Insurance Corporation protects the bank.

The best banks in the Philippines are:

• Philippine National Bank (PNB) is one of the seven largest Philippine banks, operating since 1916 and was the country's first universal bank with over 700 branches;
• Union Bank of the Philippines (UBP) is a universal bank founded in 1968 and is the ninth-largest bank in the Philippines. In addition to standard banking services, Union Bank of the Philippines offers cash management, foreign exchange trading, and investment and trust management to its customers;
• Maya Bank is a Philippine digital bank operating under a license from the Central Bank of the Philippines. The company that owns Maya Bank has its financial ecosystem consisting of seven different products, some of which are targeted at corporate customers only;
• Overseas Filipino Bank (OFBank) is a government-owned digital bank with no physical branches. All services, including account opening, are available to customers online;
• UnionDigital Bank is another virtual bank that aims to make financial products and services more accessible. One of the features of UnionDigital Bank is that it provides credit solutions that are not available in traditional banks in the Philippines.

Bank transfers in Philippine pesos

To make a transfer in Philippine pesos, individuals need to provide the bank with information about themselves, such as name and date of birth, as well as show the employee an identification document (passport, ID card, or other, depending on what documents the bank allows you to use to open an account).

Corporate clients need to provide information about their organization. Both of them need to provide the following data to make a transfer:

• Bank account number and name of the bank (if any);
• Name of the bank to which the transfer is made;
• Country and citizenship of the recipient;
• City of residence, address, and postal code of the recipient;
• Branch code;
• Phone number of the recipient.

Bank transfers can take up to three business days, and the fee will depend on the institution chosen and the method of sending the funds. You can also use third-party services such as Wise and InstaPay or POSENet from BPI. The transfers themselves can be made both through bank offices and their applications. Some banks do not have their branches and allow you to make bank transfers to PHP only online.