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 fast—concise, clear, and easy to read. Perfect for busy readers.

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:

The initiative aligns with BSP’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

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