Advertisement PDAX Banner

Quick Take: BSP Considers Subscription Fees for Digital Payments to Lower Costs

Photo for the Article - Quick Take: BSP Considers Subscription Fees for Digital Payments to Lower Costs

The Bangko Sentral ng Pilipinas (BSP) is exploring the possibility of replacing per-transaction fees with subscription-based pricing for digital payment platforms. This move aims to reduce transaction costs and support financial inclusion.

A Quick Take delivers key facts fastโ€”concise, clear, and easy to read. Perfect for busy readers.

Photo for the Article - Quick Take: BSP Considers Subscription Fees for Digital Payments to Lower Costs
Eli Remolona Jr., BSP Governor

Quick Take:

  • Subscription Model: BSP Governor Eli Remolona Jr. described the current per-transaction fee model as suboptimal, emphasizing the potential benefits of a larger payment network supported by fixed subscription fees, Inquirer reported.
  • Stakeholder Consultation: BSP is engaging with industry participants to develop a consensus on the proposed fee structure.
  • Free Small Fund Transfers: A draft circular suggests making small fund transfers free, subject to thresholds set by the BSP. (Read more: BSP Governor Explores Eliminating Minimal Transfer Fees)
  • Industry Resistance: Some banks expressed concerns about users splitting large transactions into smaller amounts to avoid fees, complicating the payment system.

Current Fee Landscape:

  • InstaPay: Averages at โ‚ฑ10 for personal accounts and โ‚ฑ30 for corporate.
  • PESONet: Fees vary between โ‚ฑ8 and โ‚ฑ600 for individual transfers.
  • (Read more: What is InstaPay and PESONet Philippines?)

The initiative aligns with BSPโ€™s broader goal of transitioning the Philippines to a cash-lite economy while addressing systemic issues in the digital payment ecosystem. (Read more: Cashless Transaction Rising in the Philippines)

This article is published on BitPinas: Quick Take: BSP Considers Subscription Fees for Digital Payments to Lower Costs


What else is happening in Crypto Philippines and beyond?

    Leave a Reply

    Your email address will not be published. Required fields are marked *

    This site uses Akismet to reduce spam. Learn how your comment data is processed.