BSP Circular 1048: Truth in Lending and disclosure rules referenced for vehicle financing

Summary

BSP Circular No. 1048, Series of 2019, amends regulations on the disclosure of effective interest rates, finance charges and other costs of borrowing for credit transactions of BSP-supervised institutions. The circular is cited by consumer guides addressing vehicle financing — including arrangements that bundle GPS tracking and remote-immobilisation devices — to argue that all costs and conditions, including IoT-imposed restrictions on use of the financed vehicle, must be clearly disclosed before contract signing.