In a significant shift for customers, Singapore Pools has announced that it will absorb all transaction fees associated with its electronic payment options starting from 11 November 2024. This decision is in response to reviews conducted alongside the Association of Banks in Singapore (ABS), its partner banks, and NETS.
What’s Changing?
- Transaction fees for PayNow, NETS, and FAST will no longer be charged to users.
- Previously, customers faced a 10-cent fee on every PayNow transaction.
- E-payment services will include the temporary suspension of eNETS payments, pending necessary system adjustments.
In a statement, Singapore Pools explained that the changes stemmed from a review of existing contracts, allowing them to recover processing costs from their payment partners. The new policy is aimed at enhancing the user experience, particularly as PayNow has become a popular and secure payment method for many Singaporeans.
Government and ABS Involvement
The decision has been positively received by the ABS, which emphasized that PayNow is intended to be free for consumers. ABS director Ong-Ang Ai Boon mentioned, “PayNow provides a secure and easy-to-use e-payment method that Singaporeans use every day. It’s great to see Singapore Pools stepping up to eliminate these fees, making transactions smoother for everyone.” This move reflects ongoing conversations in Parliament, where queries had been raised regarding surcharge practices.
Deputy Prime Minister Gan Kim Yong, also the chairman of the Monetary Authority of Singapore (MAS), noted that ABS was already engaging with Singapore Pools regarding the surcharge issue prior to this announcement.