KARACHI: The State Bank of Pakistan (SBP) has directed banks to provide free of cost digital fund transfer services to individuals for up to Rs25,000 per account/wallet.
However, the SBP said, banks may charge individuals a transaction fee of no more than 0.1% or Rs200 for fund transfer exceeding the aggregate limit of Rs25,000.
“SBP has directed banks to provide free of cost digital fund transfer services to individual customers up to, at least, a minimum aggregate sending limit of Rs25,000 per month per account/wallet. However, banks may choose to set this aggregate limit at a higher amount as well. This would allow individual customers to make as many free fund transfer transactions remaining within their aggregate monthly limit of free transfers,” a statement issued by the central bank read.
“For transactions above the aggregate limit of Rs25,000 per account in a month, banks may charge individual customers, a transaction fee of no more than 0.1% of the transaction amount or Rs200, whichever is lower.”
The SBP said this will enable service providers to recover part of costs they incur on providing inter-bank fund transfer service and build sustainable and innovative business models. Nevertheless, the new instructions encourage banks to provide free of cost digital fund transfer services to their customers to promote adoption of digital payments in the country, it added.
The central bank further instructed that all digital fund transfer transactions between different accounts within the same bank (intra-bank fund transfers) shall remain free.
The SBP directed banks to ensure proper disclosure of charged and free IBFT amounts along with applicable fees to their customers by sending regular notifications through SMS, apps and email.
After every digital transaction, banks are required to send free of charge SMS to their customers on their registered mobile numbers intimating them about the transaction amount and the charges being recovered.