The HR Council issued an advisory reminding all employees anew of the Bangko Sentral ng Pilipinas (BSP) schedule of the demonetization of the old peso bills or the New Design Series (NDS) banknotes.
The demonetization process started early this year on 1 January 2015 for the NDS as part of its objective to preserve the integrity of the Philippine currency. This move is in line with the provisions of Section 57 of Republic Act No. 7653, otherwise known as the New Central Bank Act, which authorizes the BSP to replace banknotes that are more than 5 years old.
The NDS banknotes are composed of P5, P10, P20, P50, P100, P200, P500 and P1,000. These can be used for payment or exchange until December 31, 2015. Thereafter, the NDS banknotes will no longer be accepted for payment transactions.
From now until December 31, 2016, the public may exchange with authorized financial institutions, namely universal and commercial banks, thrift banks, and rural as well as cooperative banks, their NDS banknotes with the New Generation Currency (NGC) Series at full face value, without charge.
The public may also opt to exchange NDS banknotes with the BSP or any of its regional offices/branches around the Philippines.
For Overseas Filipinos (OFs) abroad, who have in their possession NDS banknotes which could not be exchanged within the prescribed period, they may register online starting October 1, 2016 to December 31, 2016 through the BSP Website. These NDS banknotes may be exchanged with the BSP within one (1) year from date of registration.
Starting January 1, 2017, NDS banknotes that have not been exchanged shall no longer have any monetary value, and are considered demonetized. The demonetization of the NDS will result in the circulation of a single currency series in the country – the NGC Series.
The NGC banknotes which were issued on December 16, 2010 use new and enhanced security features to protect the safety of the public against counterfeiters.