For upscaling MSMEs

SEC continues to offer

Discounts for MSMEs

TAGBILARAN CITY, Bohol (PIA)—In support for the growth of micros, small and medium enterprises (MSME) and their development as well as in its commitment to push the growth of small business investments, Securities and Exchange Commission (SEC) continues with its discounted rates for certain transactions for MSMEs.

MSMEs, which spur the economies in rural areas ought to get the necessary support, and SEC Memorandum Circular No. 8, Series of 2025, essentially does that, hints SEC Region 7 information Officer Dione Drew Diano, at the Kapihan sa PIA recently.

MSMEs seeking to upscale their operations and register as a corporation can get a 20 percent discount on registration fees until the end of 2025, according to the MC issues in July last year. Now, they can still get the same discount when SEC extended the deadline until March 31, 2026.

As our way of supporting the growth of MSMEs, we are offering discounts tin the rates of their filing fees, that is 20 percent discount, if they register as a corporation, Diano said.

Or for MSMS who still could not go public as yet, there is a 50 percent discount for their registration of securities for MSMEs, to seek further hassles when seeking additional capital, and this stays on until June 30, 2026, the SEC official hinted.

According to the SEC website: for MSMEs to avail of the discount, they have to be classifies to belong to those whose capitalization does not exceed P3 million for micro enterprises, from P3 M to 15 million capitalization for small enterprises.

For medium enterprises, they have to have assets between P15 million to P100 million.

So, for these MSMEs we encourage them to register now so they can avail of the discount and other benefits, Diano added.

In reports, SEC chairperson Francis Lim said the policy on the discounted rates for MSMEs represents the commission’s strong resolve to help bring down the barriers to entry of small businesses to ensure they can grow, thrive and continuously contribute to economic growth.

He also assured that the SEC would continue to assess its rules and policies to see where it can provide further assistance to stakeholders, consistent with the goal of empowering MSMEs and the overall corporate sector to become catalysts for economic growth. (PIABohol)

DON’T MISS THE CHANCE. SEC 7 Information officer Dione Drew Diano urges MSMES wanting to go into larger operations and become a corporation, to avail of the offer and get the benefits. (PIAbohol)

Harassed by lending

collectors? Sue: SEC

TAGBILARAN CITY, Bohol (PIA)—Missed your installment payments on a borrowed money from a financial company or lending institution and is getting harassed, or your privacy invaded by them calling your contacts for that?

Then, file a complaint with the Securities and Exchange Commission (SEC) through their Financing and Lending Companies Division (FLCD).

Filing a complaint also secures a person important information: if the lending company contracted is indeed SEC registered, if their securities are registered and they own secondary licenses to offer investments to the public, and to assert one’s rights.

In fact, SEC has favorably ruled against a lending institution who used a third party agent in their collection.

While it may not be illegal, what the third party collector did was to engage in unfair, abusive debt collection practices.

In the complaint which SEC acted upon, a borrower claimed to have been subjected to unfair collection practices from the financing firm’s third-party collection agents over delayed payment.

These included intercepting him on the road to demand payment, sending him a series of text messages and communications exerting pressure for the immediate payment of partial amounts, threatening adverse consequences in the event of non-cooperation, among others.

SEC FLCD found violations of Section 1 (A), (B), and (H) of SEC Memorandum Circular (MC) No. 18, Series of 2019, and Section 4.4(A), (B), (H), and (I) of the implementing rules and regulations of Republic Act No. 11765, or the Financial Products and Services Consumer Protection Act (FCPA).

MC 18 and the FCPA provides for acts that constitute abusive and unfair debt collection practices which include the use or threat of use of violence, or other criminal means to harm a person, reputation, or property of any person; use of insults or profane language to abuse the borrower; and contacting the borrower’s contact list, other than those names as guarantors or co-makers.

According to FLCD, without a court order, intercepting the borrower on the road is not a legitimate collection practice and has the tendency to intimidate, restrain, or coerce.

Meanwhile, it also said the text messages and communications sent to the complainant were deemed to be tantamount to pressure intended to deter regulatory recourse and undermine consumer protection mechanisms.

By using a third party collection firm, the lending company cannot evade administrative accountability by attributing the prohibited acts to collection agents or third-party providers, as this allocation of responsibility accords with the FCPA IRR framework, recognizing solidary responsibility/solidary liability for regulated entities and their accredited third-party service providers engaged in marketing and transacting with financial consumers.

If you happen to be a victim of similar practices, SEC says: file a complaint, a downloadable complaint template can be had from their website: sec.gov.ph.

In the form, fill in all the necessary information needed for the complaint to be entertained, put in not applicable to those items that does not concern your complaint, according to the SEC.

Note, that the complaint may not be immediately acted upon, for insufficient data, the commission reminds.

After filling up the complaint form and having this reviewed, get this notarized and email the complaint to FLCD_COMPLAINTS@SEC.GOV.PH.

Attach in the complaint the supporting documents and affidavits that strengthen the accusations, and include a photocopy of the complainant’s government issued identification card.

Only one complaint form for every complained company, SEC instructed. (PIABohol)