The Bangko Sentral ng Pilipinas’ new pricing rules for electronic fund transfers are designed to ensure fair and reasonable charges—not to require banks and digital payment providers to offer their services for free, according to FinTech Alliance PH.
The industry group welcomed the BSP’s clarification of Circular No. 1238, saying it removes uncertainty among financial institutions, fintech companies and payment service providers while supporting the broader push for affordable, secure and sustainable digital transactions.
Following discussions between members of the BSP Monetary Board and FinTech Alliance PH, the central bank clarified that the circular establishes a cost-based fair-pricing framework rather than a zero-fee mandate.
This means banks, electronic money issuers, digital banks and other payment providers are not required to completely eliminate charges for electronic fund transfers.
The BSP also clarified that fees for “off-us” person-to-person transactions—or transfers made between accounts maintained by different financial institutions—are not limited exclusively to the amount charged by payment switches.
FinTech Alliance PH said the clarification also prevents Frequently Asked Question No. 7 of the circular from being interpreted as a strict formula requiring providers to base their transfer fees solely on switch costs.
“We are grateful to the Bangko Sentral ng Pilipinas for this important clarification,” said Lito Villanueva, founding chairman of FinTech Alliance PH.
“Following constructive dialogue between the BSP Monetary Board Members and FinTech Alliance PH, it is now clear that Circular No. 1238 is a cost-based fair-pricing guideline, not a zero-fee mandate,” he added.
Villanueva said making digital payments affordable remains crucial to expanding financial inclusion, but pricing policies must also allow service providers to maintain safe and dependable operations.
“Affordability remains central to scaling financial inclusion, but it must go hand in hand with safe, reliable and sustainable digital financial services,” he said.
The Alliance noted that electronic transfer fees help support investments in payment infrastructure, cybersecurity, system maintenance, innovation and customer protection.
It said a balanced pricing framework would protect consumers from excessive charges while allowing financial institutions and fintech companies to continue improving the speed, reliability and security of their platforms.
FinTech Alliance PH stressed that lower transaction costs and wider financial access are more sustainable when supported by viable business models that encourage long-term investments in secure, interoperable and resilient payment systems.
The group also reaffirmed its commitment to working with the BSP and other industry stakeholders to accelerate digital payment adoption and strengthen the country’s financial technology ecosystem.
It said continued cooperation between regulators and private-sector players would be essential to expanding access to safe, inclusive and sustainable financial services for more Filipinos