P5 minimum fund transfers fee urged

The Philippine Coalition of Consumer Welfare Inc. (PCCWI) requests the government to set a minimum fee of P5 per bank and e-wallet online fund transfer transaction.

In a message to DAILY TRIBUNE on Monday, PCCWI founder Ricardo Samaniego said the group’s proposal aims to lighten the financial burden of most Filipinos.

“The most affected are those in classes D and E or the poor. The charges become double, especially to those who send and receive money at regular sari-sari stores. They have much higher transaction fees than convenience stores,” he said.

Stretching finances

Samaniego added that most Filipinos have been stressed with finding ways to stretch finances amid the “increasing costs” of other basic needs like food and transportation.

Based on advisories of banks and financial technology firms, transaction fees range from P0 to P150 for small to medium amounts of funds desired to be transferred by customers.

Digital and a few traditional banks still offer zero transaction fees. The others implement this during the holiday season, special holidays, or over a limited period.

However, to increase the incomes of small entrepreneurs like sari-sari store owners, they can charge customers for depositing cash into e-money for their e-wallets so customers can send funds digitally faster, instead of traveling to convenience stores.

“PCCWI plans to talk with legislators to at least regulate the exorbitant fees and charges of telecommunications and financial technology companies and other foreign credit card providers to also improve their services,” Samaniego said.

No longer invited

He shared that the legislature used to invite PCCWI to discuss issues on consumer goods and services. “Before we were invited and gave the legislators in the 18th to 19th Congress. Feedback. But after two sessions, we were not invited anymore although hearings continued to about four sessions,” Samaniego said.

Bangko Sentral ng Pilipinas Governor Eli Remolona Jr. had said the central bank continues to talk with financial service providers to make fund transfers free or more affordable, especially for small amounts.

Remolona said he also hopes public posts about companies waiving transaction fees for transfers of small amounts will help in “shaming” other firms into doing the same for the benefit of lower-income earners.