MORNBFI Vol. 1 - Planters Development Bank

APP. Q-3709.12.31(f) janitorial services;(g) public relations services, procurementservices, and temporary staffing: Provided,That these activities do not include servicingbank deposit substitutes or other inherentbanking functions;(h) sorting and bagging of notes andcoins;(i) maintenance of computerhardware, e.g., disk drives, printers,monitors, UPS, network cabling systems;(j) payroll of employees;(k) telephone operator/receptionistservices;(l) sale/disposal of acquired assets(ROPA);(m) human-resource related services(such as personnel training anddevelopment, background investigation andsalary benchmarking service)(n) buildings, ground and otherfacilities maintenance;(o) legal services from local legalcounsel;(p) compliance risk assessment andtesting;(q) tax compliance services; Provided,That the service provider is not also theexternal auditor of the bank;(r) ATM card plastic embossingservice, subject to the following conditions:(i) Only the ATM card number andthe name of the depositor are printed/indicated on the plastic card and stored inthe magstripe; and(ii) Account/Transaction validation isdone at the host level,i.e., the bank’scomputer, as the card number stored inthe magstripe is linked to the depositaccount number residing at the same hostcomputer;(s) ATM incident management service;Provided, That the messages transmitted bythe ATM machines to the service provider’smonitoring system are purely ATM statusesand in no way shall client or transactioninformation be sent; and(t) such other activities as may bedetermined by the Monetary Board.e. Service providers. When allowedby law, banks may enter into outsourcingcontracts only with service providers withdemonstrable technical and financialcapability commensurate to the servicesto be rendered.f. Review of subsisting outsourcingcontracts. Within six (6) months from19 July 2005 –(1) banks should submit a list of alltheir existing contracts with serviceproviders, detailing the:(a) services/activities being outsourced;(b) terms of the contracts;(c) measures, if any, undertaken bythe bank and/or service provider toensure the secrecy and confidentiality ofall other data and information; and(d) such other information as may benecessary to show compliance with thepertinent provisions of this Appendix or berequired by the Monetary Board; and(2) for outsourcing contracts not inaccordance with this Appendix, thefollowing alternative courses of action areavailable to the bank concerned:(a) preterminate said contracts;(b) renegotiate or remedy the sameand submit the amendments thereto ornew contracts to the BSP; or(c) submit a program of compliance tothe BSP.(As amended by Circular Nos. 642 dated 30 January 2009,623 dated 09 October 2008, 621 dated 16 September 2008,610 dated 26 May 2008, 596 dated 11 January 2008,548 dated 25 September 2006 and 543 dated08 September 2006)Manual of Regulations for Non-Bank Financial InstitutionsQ RegulationsAppendix Q-37 - Page 5