. , 
FIFTEENTH CONGRESS OF THE REPUBLIC 
) 
'J '.' 
OF THE PHILIPPINES 
) 
First Regular Session 
) 
SENAT~ 
S. No. 
2\S08 
Introduced by Senator Miriam Defensor Santiago 
EXPLANATORY NOTE 
The right to privacy IS the "right to be let alone", and IS considered "the most 
comprehensive of rights and the right most valued by civilized men." 
In the 1968 case of Marje v. Mutuc, the Supreme Court, though the late Chief Justice 
Enrique Fernando, held that "the right to privacy as such is accorded recognition independently 
of its identification with liberty; in itself, it is fully deserving of constitutional protection." Thus, 
while not explicitly identified in the Constitution, the right to privacy is nonetheless recognized 
and is deserving of protection as the other fundamental rights. 
One of the more important aspects of an individual's privacy is information which may 
allow access to his finances. Such information deserves more protection because it can cause 
one's utter ruin ifit falls into the wrong hands. 
This bill seeks to protect the privacy of consumers in commercial transactions, which 
involve the use of credit cards and checks, by prohibiting the other parties involved from 
requiring the said consumers to furnish additional personal identification information not 
necessary to complete the commercial transaction.' 
• This bill was originally filed by the Senator during the 13th Congress. 


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FIFTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
) 
) 
First Regular Session 
) 
SENllao8 
S. No. __ "----_ 
Introduced by Senator Miriam Defensor Santiago 
AN ACT 
PROTECTING CONSUMER PRIVACY IN CREDIT CARD 
AND CHECK TRANSACTIONS 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
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SECTION 1. Short title. - This Act shall be known as the "Consumer Privacy in 
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Commercial Transactions Act." 
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SECTION 2. Declaration of policy. - It is a policy of the State to promote the general 
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welfare of the people. Pursuant to this policy, this Act seeks to protect the privacy of consumers 
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in commercial transactions involving the use of credit cards and checks. 
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SECTION 3. Definition of terms. - For purposes of this Act: 
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(A) "Check" means an instrument, draft or order issued or made for the payment 
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of money upon any bank or other depository institution. 
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(B) "Credit Card" means any instrument or device, whether known as a credit 
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card, credit plate, or by any other name, issued with or without fee by an issuer for the 
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use of the card holder in obtaining money, goods, services, or anything else of value on 
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credit. Credit card shall not include a check guarantee card. 
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SECTION 4. Prohibition against demanding additional personal identification 
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information in credit card transactions. No person, firm, partnership, corporation, or other 
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business entity that accepts a credit card for a business transaction shall write, cause to be 
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written, or require that a credit card holder write personal identification information, not required 
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by the credit card issuer, on the credit card transaction form. Personal identification information 
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shan include, but shall not be limited to, a credit card holder's address or telephone number. 
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The provisions of this section Shflll apply to all credit card transactions; provided, 
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however, that the provisions of this section shall not be construed to prevent a person, firm, 
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partnership, corporation, or other business entity from requesting information that is necessary 
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for shipping, delivery, or installation of purchased merchandise or services or for a warranty 
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when such information is provided voluntarily by a credit card holder; provided further, that the 
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provisions of this section shan not be construed to prohibit a person, firm,' partnership, 
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corporation or other business entity from requesting one or more additional identification cards 
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to confirm the identity of the credit card user. 
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SECTION 5. Prohibition against demanding additional personal identification 
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information in check transactions. - No person, firm, partnership, corporation, or other business 
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entity accepting a check in any business or commercial transaction as payment in fun or in part 
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for goods or services shan do any of the following: 
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(A) Require, as a condition of acceptance of such check, that the person presenting such 
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check provide a credit card number, or any personal identification information other than a name, 
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address, motor vehicle operator license number, or any other identification card number of such 
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person and telephone number, an of which may be recorded; provided, however, that the person, 
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firm, partnership, corporation, or other business entity accepting such check may verify the 
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signature, name, and expiration date on a credit card; provided further, that in complying with a 
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request to provide a telephone number, the person paying with a check may provide either a 
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home telephone number or a telephone number where such person may be caned during daytime 
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hours. 
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(B) Require, as a condition of acceptance a check, or cause a person paying with such 
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check to sign a statement agreeing to allow a credit card to be charged to cover the amount of 
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such check. 
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(C) Contact a credit card issuer or otherwise access a credit card account balance to 
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determine if the amount of any credit available to the person paying with a check will cover the 
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amount of such check. 
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(D)Require, as a condition of acceptance of the check, that a person's credit card number 
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be recorded in connection with any part of a transaction. 
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(E) Record on a check, or require a person paying with a check to record on such check, 
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any information regarding the race of such person. Nothing in this section shall not prohibit any 
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person from doing any ofthe following; 
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(1) Requesting, receiving, or recording a credit card number in lieu of requiring a 
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cash deposit to secure payment in event of default, loss, damage or other occurrence; or 
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(2) Recording a credit card number and expiration date as a condition for cashing 
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or accepting a check where such person has agreed with the card issuer to cash or accept 
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checks from the issuer's card holders and where the issuer guarantees such card holder 
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checks cashed or accepted by such person. 
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SECTION 6. Penalties. - The performance of any of the prohibited acts in the preceding 
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Sections shall be punishable by a penalty of imprisorunent of arresto menor, or a fine ranging 
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from Ten Thousand Pesos (PIO,OOO.OO) to Fifty Thousand Pesos (P50,000.00), m both, at the 
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discretion of the court, taking into consideration all attending circumstances. 
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If the entity responsible for the prohibited act is a corporation, trust or firm, partnership, 
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association or any other entity, the penalty of imprisorunent shall be imposed on the entity's 
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responsible officers, including, but not limited to, the president, vice-president, chief executive 
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officer, general manager, managing directm, or partner directly responsible therefore. 
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SECTION 7. Who may hring suit. - Any person who engages in the conduct of any trade 
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or commerce and who suffers any loss of money or property, real or personal, as a result of the 
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use or employment by another person who engages in any act proscribed in Sections 4 and 5 of 
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this Act may bring an action in court, whether by way of original complaint, counterclaim, cross-
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claim or third-party action for damages and such equitable relief, including an injunction, as the 
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court deems to be necessary and proper. 
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Such person, if he has not suffered any loss of money or property, may obtain such an 
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injunction if it can be shown that the aforementioned unfair method of competition, act or 
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practice may have the effect of causing such loss of money or property. 
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SECTION 8. Implementing Rules and Regulations. - The Secretary of the Department of 
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Trade and Industry is hereby authorized to promulgate implementing rules or regulations 
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necessary to enforce the provisions of this Act not later that one (1) year from its approval. 
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SECTION 9. Separability Clause. - If any provision or part hereof, is held invalid or 
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unconstitutional, the remainder of the law or the provision not otherwise affected shall remain 
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valid and subsisting. 
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SECTION 10. Repealing Clause. - Any law, presidential decree or issuance, executive 
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order, letter of instruction, administrative order, rule or regulation contrary to or inconsistent 
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with the provisions of this Act is hereby repealed, modified or amended accordingly. 
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SECTION 11. Effectivity, -- This Act shall take effect fifteen (15) days after its 
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publication in at least two (2) newspapers of general circulation. 
Approved, 
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