BSP wants to do away with bank fees for little transactions.

Online payment was much simpler than standing in line, but when you add it up, it's quite expensive. It is unfair to most of us, but how will everyone accept this change if not everyone can afford the fees? Some cases include when you are only sending 100 pesos or a lower account that costs 10 pesos transaction fee if you send it then 10 pesos when you cash it out.

In order to encourage more Filipinos to conduct business online, the Bangko Sentral ng Pilipinas (BSP) suggests eliminating fees on small transactions.

According to BSP Governor Felipe Medalla, transaction fees can add up, particularly with frequent and low-value transfers.

“One way to make [digitalization] more inclusive, and I’m sure we can work together to achieve it, is if small transactions, up to a limit, will be free of charge so that the poor can also use digital payments. Because when the transaction is small and the fee is P15, it’s quite large relative to the fees,” Medalla told reporters at the sidelines of the BSP’s 2023 Annual Reception for the Banking Community on Friday, February 24.

To encourage banks and financial institutions to do away with fees in exchange for banks waiving fees on small transactions when people make bank-to-bank payments, the BSP could lower the reserve requirement ratio (RRR). Through its Paleng-QR PH Program, the BSP is also encouraging Filipinos to adopt digital technology.