Does a remittance agent have to tell me the fees and exchange rate before I pay?
Last updated: 2026-07-11 · Educational content; not legal advice.
Short answer
Yes. BSP requires Remittance and Transfer Companies to give consumers full disclosure and utmost transparency so they can compare and make informed decisions before transacting (MORNBFI §§602-P/702-N as amended by BSP Circular 1048, 2019; Memo M-2021-032). RA 11765 (2022) also guarantees the right to disclosure and transparency of financial products, and the Truth in Lending Act (RA 3765) backs a written statement of charges. In practice you are entitled to know the sending fee, the exchange rate applied, and the exact amount the recipient will receive, before you hand over your money. If a charge was not disclosed, you can dispute it and demand it back.
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Frequently asked
What exactly must be disclosed?
The sending fee, the exchange rate applied to any currency conversion, any other charges, and the exact amount the recipient will receive. BSP's remittance disclosure rules (Memo M-2021-032, MORB §298) require this so you can compare providers before you pay.
Can they add a fee after I have paid?
No — charges must be disclosed up front. A fee that appears only after the transaction, or that was never in the disclosed schedule, is disputable. Keep the receipt and demand the undisclosed amount back.
Does this cover the exchange-rate margin too?
The rate applied to your conversion must be disclosed. A provider can set its own rate, but it must tell you the rate and the resulting amount — an undisclosed or misrepresented margin breaches RA 11765's transparency right.
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