December 31 Deadline to Swap Old Peso Bills

The Bangko Sentral ng Pilipinas (BSP) reminded the information officers of the local government units and national government agencies about the December 31, 2016 deadline to swap holdings of New Design Series (NDS) paper bills.

During the recent general assembly meeting of the Association of United Development Information Officers in Bohol (AUDIO-Bohol), BSP Bank Officer Hazel Cultura said the old NDS banknotes launched in 1985 will fully lose monetary value starting Jan. 1, 2017.

Cultura added that under Section 57 of Republic Act (RA) No. 7653 or the New Central Bank Act, the BSP may replace notes of any series that are more than five years old and coins that are more than 10 years old.

The BSP defines demonetization as “the process of removing the monetary value of a legal tender currency by the issuing authority.” However, Cultura clarified that only paper bills are included in the latest demonetization.

She said holders of NDS can still exchange NDS paper bills at face value in banks, the Cash Department of the BSP and the various BSP offices nationwide. For NDS notes that are subject of court cases, it can be exchanged within six months after the corresponding legal cases have been terminated.

Clerks of Courts and law enforcement agencies were given an extension to swap their NDS from end of December 2016 to January 31, 2017. Meanwhile, for overseas Filipino workers (OFWs), they are also allowed to swap their NDS holdings outside of the period given to the public. OFWs are required to register their NDS holdings with the central bank through online application at https://orbs.bsp.gov.ph that started on October 1.

The NDS holdings can be swapped within a year after the registration. OFWs are allowed to swap up to P50,000 worth of NDS holdings in line with the 11th foreign exchange liberalization of the central bank.

“For those who are situated in war torn countries, the deadline for exchange is extended to 31 December 2017. There is no need for them to register,” Cultura said. (rmn/ecb/PIA7-Bohol)