BSP not likely to put cap on mobile banking fee

Malaya Business Insight – Even as more and more Filipinos are using services available at their fingertips through cellular phones, Bangko Sentral ng Pilipinas (BSP) deputy governor Nestor Espenilla said he is not keen on imposing more regulations, especially a cap on service charges, on mobile banking.
“We don’t want to regulate and impose a price cap. Rather than a price cap, let competition come in,” Espenilla said.
Espenilla said mobile banking is an ideal solution for a country like the Philippines.
“Text savvy ang mga Filipinos and many are still un-banked,” Espenilla said.
Espenilla said mobile banking has turned into a competition, not only among the top telecom providers but also among banks and other firms engaged in money transfer.
He said because of the increasing numbers of people using mobile banking for their money transfer needs, some courier services are lowering their fees.
“That’s how competition is shaping. And the Filipino consumers are evidently the winners here,” Espenilla said.
The central bank earlier said there are now eight million Filipinos using mobile banking services offered by telecom providers, boosting financial services to the un-banked in the countryside.
Read the complete article on Malaya Business Insight

Malaya Business Insight - Even as more and more Filipinos are using services available at their fingertips through cellular phones, Bangko Sentral ng Pilipinas (BSP) deputy governor Nestor Espenilla said he is not keen on imposing more regulations, especially a cap on service charges, on mobile banking.

“We don’t want to regulate and impose a price cap. Rather than a price cap, let competition come in,” Espenilla said.

Espenilla said mobile banking is an ideal solution for a country like the Philippines.

“Text savvy ang mga Filipinos and many are still un-banked,” Espenilla said.

Espenilla said mobile banking has turned into a competition, not only among the top telecom providers but also among banks and other firms engaged in money transfer.

He said because of the increasing numbers of people using mobile banking for their money transfer needs, some courier services are lowering their fees.

“That’s how competition is shaping. And the Filipino consumers are evidently the winners here,” Espenilla said.

The central bank earlier said there are now eight million Filipinos using mobile banking services offered by telecom providers, boosting financial services to the un-banked in the countryside.

Read the complete article on Malaya Business Insight

Also read: Stiff competition lowers remittance fees by 35% – BSP