MONEY SERVICE

BUSINESS - MSB
 DEFINITION
 Isa legal term used by financial
regulators to described businesses
that transmit or convert money.

 Providescurrency exchange and

conversion services
The definition was created to
encompass more than just banks
which normally provide these
services to include non-banks
financial institutions.
 FINANCIAL REGULATION

Is a form of regulation or

supervision which subjects
financial institutions to certain
requirements, restrictions and
guidelines aiming to maintain
the integrity of the financial
system.
OBJECTIVES OF FINANCIAL
REGULATORS

1. Market confidence

2. Financial stability
3. Consumer protection
 FINANCIAL INSTITUTIONS
(Known as Banking Institution)
Are corporations that provides
services as intermediaries of
financial markets.

Provides long term finance

MAJOR TYPES OF FINANCIAL
INSTITUTIONS
1. Depository Institutions
2. Contractual institutions
3. Investments institutions
 ALTERNATIVE FINANCIAL
SERVICE
Isa financial service provided
outside traditional banking
institutions on which many low-
income individuals depend.
WHO IS IN CONTROL OF ALL MSB

The BSP has placed money

service business within ambit of
its regulations and the Anti-
Money Laundering Act.
 PURPOSE
Itaims is to enhance the oversight
of money changers, remittance
and transfer companies, and
foreign exchange dealers for
purposes of promoting effective
compliance with AMLA or
Republic Act 9160.
 DATA AS OF JUNE 2016

 18,000 – BSP registered Money Service

Business
 5,300 - are head offices
 12,700 – are branches

 6,700
– out of the branches are BSP
authorized pawnshops