The Securities and Exchange Commission has revised its planned circular to lift the moratorium on online lending platforms (OLPs) and raise capital requirements for financing and lending companies, according to a report by Philstar Biz.
The new rules aim to improve regulatory oversight of the lending sector and strengthen consumer protection policies. The SEC said the revised circular addresses concerns from industry stakeholders while ensuring that only financially capable firms operate in the space.
The lifting of the moratorium is expected to allow new players to enter the online lending market, subject to stricter compliance standards. The higher capital requirements are seen as a measure to weed out undercapitalized firms and reduce predatory lending practices.