Changes Coming to Wise

[OnMyWay]

https://wise.com/help/articles/6EbiNGVwzpdfIRiEC5iVTr/regulatory-changes-for-customers-based-in-the-philippines?origin=related-article-2977982

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Regulatory changes for customers based in the Philippines
Regulatory changes for customers based in the Philippines
Starting from 20 September 2023, we’re changing the way your Wise account service is being provided in the Philippines. 

If you have a personal account and your registered address is in the Philippines , the Customer Agreement will be with Wise Pilipinas Inc. instead of Wise Payments Limited. 

This means that whenever you use Wise to send, receive or hold money, we’ll be regulated by Philippines laws. 

What can you look forward to?
We will be able to release more products and features for you, tailored to your needs. Expect a faster and easier experience when moving and managing your money internationally.

What we need from you 
Because of how we’re regulated in the Philippines, we need you to verify your account. We’ll ask you to send us an ID and a proof of address (where applicable). 

Please check your email or the notifications in your account to learn how to provide this information.

What types of documents do we accept? 
ID

If your nationality is Filipino, we accept:

Philippines National ID (PhilID)

passport

driving license

postal ID

UMID

Your document should be issued in the Philippines

If you’re a Foreign national, we only accept:

passport

Proof of Address

Utility bills within the past 3 months: gas, electric, or landline phone (no mobile phone bills)

A bank or credit card statement within the past 3 months (photo/scan of a physical letter or PDF of statement)

Vehicle registration or tax

Photo driving licence showing your address and expiry date

Any other government or financial institution-issued document

Learn how we verify your address

Are there any new limits?
You can add or receive up to 400,000 PHP* (or equivalent in any currency) into your Wise Account monthly. This means, your limit will be refreshed on the first of every calendar month. We’re working on increasing this limit.

You can send up to 480,000 PHP (or equivalent in any currency) per transfer set up from your Wise Account. This means, the limit will not apply if you’re sending money via bank transfers or other payment methods other than your balances. We’re working to increase this limit. 

There’s no limit on how much you can hold in your Wise Account.

* You'll need to provide proof of address if you want to receive up to 400,000 PHP per month. Otherwise, you can receive up to 100,000 PHP per month with the ID document verification

What about Tax?
For each transaction under your Wise Account, our fees will be subject to VAT at the prevailing rate (currently at 12%). This includes - 

Top up to your Wise Account balance

Sending money from your Wise Account balance

Currency conversions within your Wise Account

There will be no VAT applied to the amount you receive.

You can see how much VAT we’re charging when making a transfer in your Wise app. Please refer to the following as an example:

Transfer amount = 1,000 USD

Fees = 6.73 USD

VAT = 0.81 USD (12% of 6.73USD fees)

Total fees you pay = 7.54 USD

What happens if I don’t submit the verification documents

If you don’t submit the verification document, you will not be able to use your Wise Account until you complete the verification process

The document verification may take 1-3 working days, so please keep a lookout on your email for notifications regarding your verification status

[craftbeerlover]

1 hour ago, OnMyWay said:

https://wise.com/help/articles/6EbiNGVwzpdfIRiEC5iVTr/regulatory-changes-for-customers-based-in-the-philippines?origin=related-article-2977982

Wise

EN
Hello world

English (UK)

Deutsch

Español

Français

Magyar

Italiano

日本語

Polski

Português

Română

Русский

Türkçe

Bahasa Indonesia

Українська

中文（繁體）
Help home
Regulatory changes for customers based in the Philippines
Regulatory changes for customers based in the Philippines
Starting from 20 September 2023, we’re changing the way your Wise account service is being provided in the Philippines. 

If you have a personal account and your registered address is in the Philippines , the Customer Agreement will be with Wise Pilipinas Inc. instead of Wise Payments Limited. 

This means that whenever you use Wise to send, receive or hold money, we’ll be regulated by Philippines laws. 

What can you look forward to?
We will be able to release more products and features for you, tailored to your needs. Expect a faster and easier experience when moving and managing your money internationally.

What we need from you 
Because of how we’re regulated in the Philippines, we need you to verify your account. We’ll ask you to send us an ID and a proof of address (where applicable). 

Please check your email or the notifications in your account to learn how to provide this information.

What types of documents do we accept? 
ID

If your nationality is Filipino, we accept:

Philippines National ID (PhilID)

passport

driving license

postal ID

UMID

Your document should be issued in the Philippines

If you’re a Foreign national, we only accept:

passport

Proof of Address

Utility bills within the past 3 months: gas, electric, or landline phone (no mobile phone bills)

A bank or credit card statement within the past 3 months (photo/scan of a physical letter or PDF of statement)

Vehicle registration or tax

Photo driving licence showing your address and expiry date

Any other government or financial institution-issued document

Learn how we verify your address

Are there any new limits?
You can add or receive up to 400,000 PHP* (or equivalent in any currency) into your Wise Account monthly. This means, your limit will be refreshed on the first of every calendar month. We’re working on increasing this limit.

You can send up to 480,000 PHP (or equivalent in any currency) per transfer set up from your Wise Account. This means, the limit will not apply if you’re sending money via bank transfers or other payment methods other than your balances. We’re working to increase this limit. 

There’s no limit on how much you can hold in your Wise Account.

* You'll need to provide proof of address if you want to receive up to 400,000 PHP per month. Otherwise, you can receive up to 100,000 PHP per month with the ID document verification

What about Tax?
For each transaction under your Wise Account, our fees will be subject to VAT at the prevailing rate (currently at 12%). This includes - 

Top up to your Wise Account balance

Sending money from your Wise Account balance

Currency conversions within your Wise Account

There will be no VAT applied to the amount you receive.

You can see how much VAT we’re charging when making a transfer in your Wise app. Please refer to the following as an example:

Transfer amount = 1,000 USD

Fees = 6.73 USD

VAT = 0.81 USD (12% of 6.73USD fees)

Total fees you pay = 7.54 USD

What happens if I don’t submit the verification documents

If you don’t submit the verification document, you will not be able to use your Wise Account until you complete the verification process

The document verification may take 1-3 working days, so please keep a lookout on your email for notifications regarding your verification status

Leave it to the Philippines Government to tax money transfers.  Now in addition to the standard fees, the Government is getting a cut.   My suggestion would be not use an address in the Philippines

[StayAtHomeDad]

I guess they will tell us when they need the new verification info. I received this email as well. But, haven't seen anything else from them regarding the change or submitting the needed verification information. I sent a transfer to test it out, and seems nothing has changed, and I can't see where I was charged VAT or any other type of tax. Maybe, they're not finished with the new rollout. We'll see, I suppose.

[RBM]

Yeh I was caught out here a few days ago. Just before the transfer was done a notification popped up about 12% tax. Immediately canceled it, wrongly thinking it was 12% on the total, since realized its just on the fee.  Hardly worth the effort of going through the verification process to save a few cents.

[JJReyes]

This can become a substantial source of income for the government.  Billions of dollars flow-in from overseas remittances.  All the government did was issue a new requirement.  The banks and remitters will have to enforce the collection and forward the money to government coffers.

[Gator]

1 hour ago, JJReyes said:

This can become a substantial source of income for the government.  Billions of dollars flow-in from overseas remittances.  All the government did was issue a new requirement.  The banks and remitters will have to enforce the collection and forward the money to government coffers.

For now it seems like it only applies to Wise as they established a base of operations here. It’ll still generate a significant amount of revenue for the gov, but no where near as much if they were to tax all the remittance companies. I wonder if they are working on a way to do that? 

[samatm]

just sent myself 20.00 from my wise to  BPI and ...it was asking me verification hoopla.. first  put US.. but in the second verification box i accidentenly put philippines ... and it went straight through.      If I hadn't accidently put philippines it may well asked me to reupload Id  Passport etc.  I dunno.     anyone else used it recently.  BTW   My Wise account is registered as in the Philippines not a US account.   12% on the fee is only a about  80 cents per  $1000.00 no big deal.      Wise mistakenly scared everyone with their email stating a 12%  increase ..it was worded poorly.. I was ready to ditch in a heartbeat . until they came out with clearer instructions later. 

 

Anyone else with a PHilippine Wise account transferred recently and gone through the verification. again? 

[RBM]

13 hours ago, samatm said:

    If I hadn't accidently put philippines it may well asked me to reupload Id  Passport etc.  I dunno.  

 

Anyone else with a PHilippine Wise account transferred recently and gone through the verification. again? 

Not passport, from my interpretation after going to settings change address they require a government letter or Financial statement *(Bank)  not older than 3 months.  I started the process but after realizing the 12% is only on the fee decided no not worth the hassle.

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