Why are banks suddenly waiving their transfer fees?
Filipinos have long been accustomed to paying additional fees for digital transactions via online banking, with InstaPay transactions usually costing P10 and PESONet transactions around P50.
InstaPay transactions allow customers to transfer funds almost instantly between banks and non-bank e-money issuer accounts in the country.
PESONet transactions, meanwhile, allow customers processing fund transfers in a secure, batch-based manner rather than in real-time. It is particularly suited for high-value transactions, bulk disbursements and payroll.
Some banks have begun waiving transfer fees for InstaPay and PESONet transactions, surprising Filipinos who are accustomed to paying additional charges when moving money digitally between bank accounts or e-wallets.
For example, transferring funds from one bank account (A) to another bank (B) online would usually require the customer to pay an additional fee of around P10.
When some banks started waiving fees, Filipinos expressed hope that the practice would eventually be adopted across all financial institutions.
“All banks din po sana, [please]!!!,” an online user wrote before.
“WOW? Legitimately never thought a [traditional] bank in the PH would ever do this, kind of a big deal. Hopefully will set an example,” another commented, adding a grinning emoji.
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As more banks started waiving their own InstaPay and PESONet transfer fees, others wondered what made the move possible.
“Ano pong meron at halos sabay-sabay nagwa-waive ang mga banks ng transfer fee? Saka, temporary lang ba or forever na ituu?” a Filipino asked.
“Guys, hear me out, anong meron, bakit nag-free na ang transfer fees ng mga banks and e-wallets here in PH? Anong agenda?” another asked.
“Kaya nga eh, ang sketchy, hhahahaha, parang feel ko tuloy magkakaroon ng malawakang inside job, ahhahahaha,” a different Pinoy wrote.
BSP’s circular
The Bangko Sentral ng Pilipinas (BSP), the country’s central monetary authority, issued BSP Circular No. 1238 which requires financial institutions to adopt reasonable and fair market-based pricing mechanisms for electronic payment services.
The BSP said the pricing framework should promote fairness among end-user groups and ensure that fees remain aligned with the actual cost of providing services.
The circular also states that fees for electronic payments are expected to be lower than those charged for manual or over-the-counter (OTC) transactions, given the greater efficiency and cost-effectiveness of digital payment channels.
Banks may also be required to submit additional documentation to justify pricing mechanisms for fees deemed unreasonable following a review of their periodic disclosures.
BSP Governor Eli Remolona Jr. previously said that the move “will encourage more Filipinos and businesses to use and benefit from digital transactions.”
“The BSP sees this as a step toward making digital transactions even more mainstream,” he was quoted as saying.
“At the same time, greater adoption can help improve efficiency across the payments system, reducing costs for everyone,” Remolona added.
The change comes after a late 2025 consumer survey found that one in three Filipinos cited high fees as a major barrier to adopting digital payments.