BSP advises public to refrain from 'sangla-ATM' schemes

The Bangko Sentral ng Pilipinas (BSP) on Saturday advised the public to avoid giving in to “sangla-ATM” schemes as this would eventually lead to financial troubles.

In an advisory, the BSP says that automated teller machines (ATM) cardholders should not share their personal identification numbers (PINs) as collateral for loans.

“Financial troubles” could arise because under the scheme cardholder would find it difficult to monitor withdrawals made by people to whom the ATM card and PIN were given.

Creditors may also withdraw amounts higher than the cardholders’ debt, the BSP said.

“This advisory is issued in line with the BSP’s continuing program to guide Filipinos on safe and proper ways to handle money, credit and savings through financial education and personal finance management lessons,” the advisory added.

Also, the BSP "advises borrowers to understand the terms and conditions of loan agreements to protect themselves against unreasonable demands.”

It said that the public should directly inquire with banks and other BSP-supervised financial institutions, such as pawnshops, money service businesses, electronic money issuers, and non-stock savings and loan associations for information on microfinance, personal, and other small loan facilities. —LBG, GMA Integrated News