Fee reduction in-line with Bank Negara Malaysia’s e-Payment Agenda and for the benefit of greater Malaysia

Kuala Lumpur (20 May 2015) – Malaysian Electronic Payment System Sdn Bhd (MEPS), Malaysia’s premier interbank network provider, today announced the establishment of a ceiling for its real-time Interbank Funds Transfer (IBFT) service fee of RM0.50, a reduction of 50% to 88% from the current fee range of between RM1 to RM4. The new ceiling fee, applicable for transactions at the ATMs, Internet and Mobile Banking channels, will be implemented by all MEPS participating banks effective 1 June 2015.

In addition to the fee reduction, the transfer limit will also be increased from the current RM5,000 to RM10,000 by 30 June 2015 and further raised to RM30,000 by early next year.

“This is certainly good news and a boon not only for the public but businesses as well,” explained Zulkanain Kassim, Group Managing Director of MEPS. “Retail, commercial and corporate customers including SMEs will greatly benefit from the fee reduction and increased limit.”

“Today, the payment industry is embarking on making a significant leap forward with the implementation of the IBFT fee reduction and standardization of a ceiling fee by MEPS,” said Bank Negara Deputy Governor, Dato’ Muhammad bin Ibrahim. MEPS’ latest initiative in making its funds transfer service fee more affordable will provide an incentive for the public to use its funds transfer service which is real-time, convenient and safe. This service, which is also made available via the ATMs, will cater to those members of the public who have yet to adopt online banking services.

IBFT is an e-payment service which allows customers to instantly and securely transfer funds from one account in one bank to another account in another bank. Customers are assured of a safe transfer with the recipient’s details displayed for the sender’s confirmation. Upon confirmation, the recipient’s account is credited instantly and the funds are made available immediately.

IBFT also includes credit card payment and loan / financing repayment for customer convenience. With such ease, customers no longer have the fear of wrongful crediting or missing the payment deadline. On top of that, there is no need to issue cheques or use a cash deposit machine for making such transfers or payments.
This service is available at various channels such as all ATMs under the MEPS Shared ATM Network, and at the Internet and Mobile Banking facilities of participating banks.

IBFT showcases strong support for Bank Negara Malaysia’s aspiration to increase the usage of e-payment in the country, promoting wider acceptance and adoption of these handy services.

“Bank Negara Malaysia welcomes proactive initiatives by financial institutions and organizations like MEPS to accelerate the migration to electronic payments,” added Bank Negara Deputy Governor, Dato’ Muhammad bin Ibrahim. By 2020, Bank Negara Malaysia targets to increase the number of e-payment transactions per capita from 72 transactions to 200 transactions, and reduce cheques from 177 million to 100 million per year.”