[ad_1]
BSP to request some banks to extend free cash transfers
Ian Nicolas Cigaral (Philstar.com) – September 24, 2020 – 4:30 pm
MANILA, Philippines – Banking regulators intend to ask some lenders to postpone plans to pay back money transfer fees before October 1.
“We may ask you to reconsider your previous response to already impose such tariffs before October 1,” said Chuchi Fonacier, deputy governor of Bangko Sentral ng Pilipinas, in a text message Thursday.
“Actually, it still depends on the banks. But maybe we can persuade some of them through a bilateral engagement, “he added.
Ten lenders are slated to resume collecting interbank fund transfers next month after lowering fees for 6 months when lockdown measures were applied and prevented people from going out and doing business.
Banks that will charge your fund transfers after September are BDO Unibank Inc., Bank of the Philippine Islands, Metropolitan Bank & Trust Co., Rizal Commercial Banking Corp., China Banking Corp., Robinsons Bank, Philippine Savings Bank, Bank of Commerce, China Bank Savings and Philippine Bank of Communications.
PayMaya Philippines Inc. and G-Xchange Inc., which are cashless payment systems, would also reimpose their fees when transferring money to other players. Charges between P10 and P50 will apply.
The fees are consistent with BSP’s InstaPay and PESONet facilities that allow interbank transfers to occur first. That said, Fonacier reminded consumers that 11 banks would continue to support free money transfers until the end of the year, while another 4 pledged to keep them in place “until further notice.”
“We will ask them until when” they keep the transfers free, Fonacier said of the other banks.
Government-imposed lockdowns have accelerated Filipinos’ shift to cashless systems. While they are encouraged to stay home to prevent the spread of the coronavirus, consumers made 21 million transactions using InstaPay and PESONet from January to June, up 196% year-on-year. Transactions were valued at P340.9 billion, 92% more annually.
PESONet is a BSP facility that allows same day bulk cash transfers between banks worth more than P500,000 per day, while InstaPay serves small amounts up to P50,000 per day.
Limited credit card charges
In a separate statement Thursday, BSP announced that the Monetary Board, its seven-member policymaking body, agreed to put a cap on bank charges on credit card fees that remained unpaid after the expiration date.
Under the new rules that go into effect on November 3, credit card providers will now only be able to charge cardholders up to 24% annual interest per year, which translates to 2% per month. The limit will apply to both interest and finance charges.
For installment payments, the maximum limit will be narrower at 1% per month.
“Amid the growing use of electronic payment platforms, the issuance will allow credit card holders to settle financial transactions under more affordable price conditions,” said BSP Governor Benjamin Diokno.
[ad_2]
