The Philippine Securities and Exchange Commission has requested comments on draft guidelines that would lift the moratorium on recording new online lending platforms while introducing enhanced prudential, disclosure and market conduct requirements for financing and lending companies. New platforms would require a function-based pre-disclosure classification and prior approval, with each company limited to 10 platforms and subject to capital thresholds based on the number operated. Minimum paid-up capital would range from PHP 20 million to PHP 100 million for financing companies and from PHP 10 million to PHP 50 million for lending companies, depending on whether they operate online platforms and how many. Existing companies would receive a three-year transition period, with 30%, 60% and full compliance milestones, and must submit a capital compliance plan within 60 days of the circular taking effect. Noncompliant firms would ultimately have to stop onboarding borrowers through excess platforms and implement an approved discontinuance plan while continuing to service existing loans. The proposal would also establish a single Certificate of Authority for each entity, replace branch-level fees with asset-based annual licensing fees of 0.10% to 0.35% from Jan. 1, 2027, and require standardized credit-cost disclosures, data privacy safeguards, borrower confirmation before disbursement, Credit Information Corporation reporting and checks, and controls over collections and outsourcing. Comments are due by March 25, 2026, and the draft provides for an April 1, 2026 effective date.

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