SEC Penalises Global Dominion PHP 50,000 for Abusive Debt Collection

The Securities and Exchange Commission (SEC) has penalised Global Dominion Financing, Inc. for using unfair and abusive debt collection methods.

In an order dated 28 January 2026, the SEC Financing and Lending Companies Department (FLCD) found the firm in violation of Memorandum Circular No. 18 and the Financial Products and Services Consumer Protection Act (FCPA).

The regulator ordered the company to pay an administrative fine of PHP 50,000.

The commission warned Global Dominion that repeating such acts would result in more severe consequences. This includes possible higher monetary penalties or the loss of its certificate of authority.

The case originated from a borrower’s complaint regarding the conduct of third-party collection agents following payment delays.

Reported abuses included intercepting the borrower on a public road to demand payment. The company was also caught sending communications that used pressure to discourage the borrower from seeking regulatory help.

The FLCD noted that intercepting a debtor without a court order is not a legitimate practice and is intended to “intimidate, restrain, or coerce”.

The SEC clarified that financing firms remain accountable for the actions of their contractors.

The Securities and Exchange Commission (SEC) adopts a stance that aligns with the Financial Products and Services Consumer Protection Act (FCPA) framework. This regulatory structure establishes joint responsibility for both regulated entities and their third-party service providers when interacting with financial consumers.

The regulations explicitly define prohibited acts such as using profane language or making threats of violence against borrowers.

These rules forbid collectors from contacting anyone on a borrower’s contact list who is not an official guarantor or co-maker.

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