Herrera reiterates call for congressional probe on GCash
Following latest unauthorized transfer incidents
HOUSE Deputy Minority Leader and Bagong Henerasyon Partylist Rep. Bernadette Herrera has reiterated her call for a congressional inquiry into unauthorized transactions in digital wallets, following the recent spate of unauthorized transfers involving e-wallet platform GCash.
Herrera noted that this latest incident echoes a similar breach that occurred in May 2023, where many GCash users experienced unauthorized deductions from their accounts, causing financial inconvenience and raising concerns over the platform’s security protocols.
“With millions of Filipinos relying on digital wallets for daily transactions, it is critical for Congress to probe the security and regulatory framework surrounding financial technology (fintech) services,” Herrera said.
“We must ensure that the fintech sector operates with transparency, accountability, and strong consumer protections to maintain public trust,” she added.
Herrera’s renewed call for an inquiry follows recent unauthorized GCash transfers ranging from P1,000 to P2,000, which were linked to a technical issue involving the platform’s “Send Ang Pao” feature and its system reconciliation process. GCash has since assured users that hacking or phishing was not involved in the incident.
Herrera also raised concerns over the rise of text “phishing” scams targeting digital wallet users. These scams often involve International Mobile Subscriber Identity (IMSI) catchers, which intercept mobile data traffic by posing as legitimate cell sites.
“As digital financial services become more ingrained in the lives of Filipinos, we must implement a legislative framework that ensures security, stability, and public trust,” Herrera pointed out.
She continued, “Regulators such as the Bangko Sentral ng Pilipinas, the Securities and Exchange Commission, and the Department of Information and Communications Technology already oversee the fintech industry, but stronger legislative safeguards are needed.”
The fintech sector has grown rapidly, with GCash alone serving over 79 million users and processing P6 trillion worth of transactions in 2022—an amount nearly equal to the country’s national budget for 2023.
While fintech advancements promote financial inclusion, Herrera stressed the need for proactive regulations to safeguard users’ funds and data.
“As legislators, we are responsible for ensuring the digital economy is a safe space for all Filipinos. This inquiry goes beyond addressing past incidents—it’s about establishing a secure future for fintech in our country,” she said.
This is not the first time GCash has faced unauthorized transactions.
Herrera previously filed House Resolution (HR) No. 963 in response to a similar incident on May 9, 2023, when numerous users experienced unauthorized deductions from their accounts.
The deducted funds were transferred to accounts under East West Banking Corp., which launched an internal investigation and cooperated with authorities.
Herrera, who was also affected by these transactions, noted that GCash has not yet disclosed the full extent of these unauthorized deductions, including the total amount and the number of accounts involved.
The repeated incidents, according to Herrera, underscore the urgent need for Congress to address gaps in digital financial security and regulation to protect the growing number of Filipinos who rely on digital wallets for financial transactions.
