The Bangko Sentral ng Pilipinas (BSP) has issued Circular No. 1230, Series of 2026, recalibrating the Enhanced Due Diligence (EDD) threshold for large-value cash transactions as part of its strengthened AML/CTPF framework.
Circular No. 1230, issued on 27 February 2026 and effective 21 March 2026, amends Circular No. 1218, s. 2025, raising the EDD trigger from PHP500,000 to PHP1,000,000 per customer per banking day.
Under the Circular, BSP Supervised Financial Institutions (BSFIs) must apply risk-based EDD to cash payouts exceeding PHP1,000,000.00, or its foreign currency equivalent, whether made through a single transaction or multiple transactions within one banking day. BSFIs may impose lower internal thresholds.
EDD must be conducted at the customer level, taking into account the customer’s risk profile, business activities, and transaction history, and is mandatory for high-risk customers or business relationships. Where EDD cannot be completed, either because the BSFI did not complete the EDD procedures or it reasonably believes that performing the EDD process will tip-off the customer, the BSFI must file a Suspicious Transaction Report (STR), closely monitor the account, review the business relationship, and implement appropriate risk-mitigation measures.