Metrobank waives InstaPay fees for small transactions until end-September

Metropolitan Bank & Trust Co. (Metrobank) on Wednesday announced the waiver of InstaPay fees for small transactions until end-September, with the government pushing to boost digital payments across the country.

In an advisory, Metrobank said it will waive transfer fees for InstaPay transfers starting July 26, 2023 until September 30, 2023, covering transactions worth P1,000 and below. Regular fees will apply for scheduled transfers.

“This is in support of the Bangko Sentral ng Pilipinas’ (BSP) thrust to encourage more Filipinos to take advantage of the convenience of online payment transactions,” the advisory read.

“It is also part of the bank’s move to provide smart, simple, and secure banking services to its clients through the new Metrobank App,” it added.

Launched in April 2018, InstaPay is an electronic fund transfer (EFT) payment system that enables individuals to wire funds across banks in real time.

Former BSP Governor Felipe Medalla in February said the central bank is ready to work with the banking industry to incentivize more Filipinos to use digital payments and eliminate fees on small-value fund transfers.

He then said that a P15 fee — charged by a number of banks for interbank transfers — for a P200 transaction would be “quite large” relative to the amount being sent.

The BSP has since cut down the reserve requirement ratio (RRR) or the amount of cash a bank must hold in its reserves against deposits made by customers in the country for big banks by 250 basis points to 9.5% effective June 30.

The Bank of the Philippine Islands last month also announced it would not charge transfer fees for small transactions made through its new mobile application until the end of September. —Jon Viktor Cabuenas/KG, GMA Integrated News