Waiving your rights on your bank deposits?

Last Monday, the Business Section of the Philippine Star came up with a report that blared, "Bank Deposits Swell 8% to P6.9 Trillion". This report came from the Bangko Sentral ng Pilipinas, which should be good news to Filipinos. Last Christmas season, we saw numerous Filipinos trooping to our shopping malls purchasing their Christmas cheer for their respective family and friends. That is proof of the disposable income that Filipinos in my generation never enjoyed.

If you see on the road, new cars (notably small econocars) with a sign emblazoned "New Driver" the driver of that new car means, he must have gotten his or her car from the various promos that car dealers are giving away to buyers and yes… when I see a new car with that sign… indicating that the driver also just got his or her driver's license, I overtake that vehicle because new drivers are always anxious with their driving style and super careful about their new car.

This is one phenomenon that never happened in the past. Again this is another sign of the Filipino's prosperity, but no thanks to the Aquino Regime because many Filipinos with disposable income work as Overseas Foreign Workers, except those working in Call Centers or the Business Process Outsourcing Industry, which kicked off during the Arroyo administration.

With this news that Filipinos now have money to save in our banks, and I guess it is the right time to warn these new depositors that when they choose a bank, they should first read the fine print before signing any bank papers or documents. More often than not, we are eager to have our money deposited and merely sign any paper that bank officials present to us for signing. More so if you are looking for a bank loan.

 A few days ago, a relative of mine showed me a bank's (I will not mention the bank's name) two-page Customer Information Form (CIF) and she pointed out to me something that many bank depositors overlook or merely sign without checking these fine prints. For your appreciation, allow me to reprint that particular section in that bank's CIF.

"Disclosure of Information: The Accountholder acknowledges that the Philippine government, United States Government and governments of other foreign jurisdictions where transactions pertaining or incident to the Deposit Account may transpire, may require the Bank, its branches and agencies and all of the Bank's subsidiaries, affiliates or correspondent banks to disclose or produce governmental requirements like the Accountholder hereby waives his/her/its rights under Republic Act 1405 (law on Secrecy of Bank Deposits), Republic Act 6426 (Foreign currency Deposit Act of the Philippines) RA 8791 (otherwise known as the General Banking Law of 2000) or any other pertinent law or regulation, as the same may be amended from time to time, and hereby authorizes the Bank, its branches and agencies, and all of the Banks subsidiaries affiliates or correspondent Banks without prior notice or reference to the Accountholder, to make any and all disclosure of information regarding the Deposit Account as may be required by the Philippine Government, the United States Government or such other foreign governments. The Accountholder hereby holds the Bank, its directors, officers, employees and other duly authorized representatives free and harmless against any and all liability arising from any loss or damage which the Acountholder may incur or suffer as a result of such disclosure."

In another section about Transfer of Information, I will only reprint the most important point which goes, "the Bank and any office, branch, subsidiary, affiliate, agent representative or third party may transfer and disclose any such information as may be required by any law or regulation."  As it is the end of the Year 2015, chances are, your bank will be asking you to put in your new signatures on your deposits and loans.

Mind you, this is the first time that I read the fine print of this particular bank's information sheet to bank depositors and this is an eye opener for me that we would simply sign or waive our rights despite our Bank Secrecy Law to a Bank down even to a third party so that the Philippine government and yes, including the US government and other governments can peek at your bank account. What has the US government got to do with my savings account? Mind you I have nothing to hide, but in my book the US government has no business looking into my bank account!

What ever happened to our privacy? I think that the Banker's Club of Cebu (BCC) should come up with an explanation on this issue. Are all their member banks (they have 40 member banks) doing this or is this happening only with a certain particular bank? I personally would not waive any information regarding my personal bank account and I'm sure many bank depositors feel the same way. So my advise? Read the damn fine print!

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