#GCash is celebrating the enactment of Republic Act 12010, also known as the Anti-Financial Account Scamming Act (AFASA). This law is a significant milestone in bolstering the security and reliability of digital financial services in the Philippines, providing users with the assurance they need to transact safely.
AFASA introduces stringent penalties for financial crimes, including acting as money mules and participating in social engineering schemes. It provides a robust legal framework to prosecute financial scammers, imposing severe penalties such as imprisonment and hefty fines.
GCash Chief Legal Officer Atty. Maricor Alvarez-Adriano stated, “The surge in digital transactions in recent years is a positive stride towards our objective of an inclusive financial system in the country. However, with the emergence of new technologies, scammers and fraudsters can execute their schemes through money mule accounts, targeting unsuspecting users through social engineering techniques like phishing. AFASA addresses these issues by explicitly prohibiting, punishing, and imposing stricter penalties for financial crimes, including acting as money mules and engaging in social engineering schemes, and by enhancing the capacity of financial institutions to prevent and deter scams.”
Moreover, AFASA empowers financial institutions, including GCash, by enhancing their capacity to prevent and deter scams. The new law enables financial institutions to share more information with the Bangko Sentral ng Pilipinas (BSP) to investigate suspected fraudulent accounts.
Atty. Alvarez-Adriano added, “At the heart of our mission is a commitment to trust and security in the digital space. We will persistently collaborate with the Bangko Sentral ng Pilipinas (BSP) and our law enforcement agencies on consumer education and awareness. By fostering a greater understanding of fraudulent schemes, users will be empowered to identify and avoid potential threats, thereby reducing their risk of falling victim to scams. This aligns perfectly with our commitment to cultivating a safe and secure digital environment for all.”
Under AFASA, scam cases like phishing and account takeovers will be classified as criminal cases of money mule, social engineering, and economic sabotage, with penalties of fines and or imprisonment.
In terms of cybersecurity and collaboration with law enforcement agencies, financial institutions, including GCash, will also have the authority to temporarily withhold any transaction deemed suspicious for 30 days, thus further safeguarding its users.
"Atty. Alvarez-Adriano concluded, “Over the years, we have supported the government’s initiatives to enable a cashless ecosystem in the country. We have forged alliances with law enforcement authorities, namely the Philippine National Police Anti-Cybercrime Group (ACG), the Cybercrime Investigation and Coordinating Center (CICC), and the National Bureau of Investigation (NBI), among others, for a safer digital space. But more than partnerships, we believe that we need tougher laws to pursue perpetrators. We are hopeful that with the passage of AFASA, we can do more to improve the lives of every Filipino.”
FAQs
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What is the Anti-Financial Account Scamming Act (AFASA)? The Anti-Financial Account Scamming Act (AFASA) is a law that introduces stringent penalties for financial crimes, including acting as money mules and participating in social engineering schemes.
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How does AFASA affect GCash users? AFASA enhances the security and reliability of digital financial services, providing GCash users with the assurance they need to transact safely.
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What are the penalties under AFASA? AFASA imposes severe penalties for financial crimes, including imprisonment and hefty fines.
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What is GCash’s stance on AFASA? GCash welcomes the enactment of AFASA and believes it is a significant milestone in bolstering the security and reliability of digital financial services in the Philippines.
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How does AFASA empower financial institutions like GCash? AFASA enhances the capacity of financial institutions like GCash to prevent and deter scams. It also enables them to share more information with the Bangko Sentral ng Pilipinas (BSP) to investigate suspected fraudulent accounts.