The National Telecommunications Commission (NTC) wants anyone importing or selling used and refurbished phones in the Philippines to secure a permit first — and to back the business with at least ₱20 million in capital. The draft rules, which cover secondhand phones, tablets and similar devices, would also require every unit sold to carry a one-year repair or replacement warranty. The regulator accepted written comments on the proposal until October 1, so the framework could be finalized in the coming months.
What the draft rules require
Under the proposal, a business would need a Refurbished Mobile Phone Dealer Permit before it can import, buy for resale, or sell used and refurbished devices. The permit is valid for one year. According to BusinessMirror's report, only legitimately sourced and properly documented devices would be allowed in, and imported units must carry original NTC type approval — the regulator's certification that a device meets Philippine technical standards.
The devices themselves face new standards, too:
- Units must be untampered and legitimately sourced, with proper import documentation.
- Refurbished units must be boxed and labeled under the brand of the NTC-authorized dealer.
- Units must be graded, so buyers can see the condition of what they are paying for.
- Every unit must come with a one-year warranty — either a repair warranty from an authorized service center or a replacement warranty directly from the dealer.
Unlicensed businesses caught importing, selling or trading used devices would face administrative sanctions from the commission.
The capital requirement and fees
The most debated detail is the money. Revu's breakdown of the draft lists proof of capital of at least ₱20 million — and not more than ₱50 million — among the permit requirements, alongside a local business permit.
The scheduled fees are small by comparison:
| Fee | Amount |
|---|
| Filing fee | ₱500 |
| Annual permit, per branch | ₱2,500 |
| Annual inspection, per branch | ₱1,500 |
| Fine per violation or unit | ₱5,000 |
Why the NTC is doing this
The commission says the rules are meant to stop the sale of stolen or illegally acquired phones and to shut down the trade in tampered and defective units. The Daily Tribune reports that the NTC frames the move as part of its mandate to regulate telecommunications equipment and protect consumers. A public hearing on the draft was held on September 23 at the NTC Central Office in Quezon City.
The proposal lands while the regulator is already flexing its enforcement muscle elsewhere — it is currently fining the three major telcos ₱100,000 a day over slow mobile internet.
What it means if you buy secondhand
For buyers, the upside is real: graded, boxed units with a one-year warranty would make refurbished phones far less of a gamble than they are today, when most secondhand purchases carry a seven-day guarantee at best. A warranty requirement also gives you recourse when a reconditioned unit fails after a month.
The trade-off is reach and price. A ₱20-million capital floor is far beyond the small shops and online resellers that handle much of the secondhand phone trade in the Philippines. If the requirement survives in the final rules, expect the legitimate refurbished market to consolidate around larger, well-funded dealers — and prices to reflect the added compliance costs. Informal person-to-person sales are a different question; the draft targets businesses that import and resell at scale.
What happens next
These are still proposed rules. The comment period closed on October 1, and the NTC will now review submissions before adopting a final framework. Key numbers like the capital requirement could still change — industry groups are expected to push back on exactly that provision. We will know the final shape of the rules, including when they take effect, once the commission publishes the adopted memorandum circular.
