BSP retains cap on credit card charges until year-endThe central bank’s Monetary Board has decided to keep the interest rate cap and charges on credit card transactions until end December before reviewing it again in January next year. The central bank’s Monetary Board has decided to keep the interest rate cap and charges on credit card transactions until end December before reviewing it again in January next year. The STAR first reported that the BSP was imposing a two percent per month and 24 percent per year interest rate or finance charge cap on unpaid credit card balance. Prior to the imposition of the cap during the height of the global health crisis, the annualized interest rate on credit card receivables averaged 36 percent. Philippine banks and credit card issuers have reported lower earnings since the ceilings were imposed on credit card charges.

Source: Philippine Star November 12, 2022 18:27 UTC