Malaysian payments provider MOLPay, part of internet group MOL Global, has launched an online payment service targeted at micro businesses, which typically prefer cash on delivery (COD) or interbank transfer methods for online transactions to avoid fees.
MOLPay’s chief executive officer (CEO), Eng Sheng Guan, said the new service, entitled MOLPay-FPX Plan, allows businesses with online stores or electronic commerce (e-commerce) web sites to accept payment from bank accounts of customers whose banks participate in the Financial Process Exchange (FPX).
FPX, an online payment option offered by Malaysian Electronic Clearing (MyClear), allows customers to directly debit their banking accounts without requiring credit cards. FPX-participating banks are Bank Islam, CIMB Bank, Hong Leong Bank, Maybank, Public Bank and RHB Bank.
The service targets micro-enterprises, including merchants selling through blog shops or social media platforms, the company said on its site. Eng added: “We observed that there are many online merchants especially those selling low profit margin products who are still reluctant to engage online payment services to accept payments from their customers due to the common transaction fee charged deemed high. They rather prefer their customers to pay cash on delivery, cash or cheque deposit or interbank transfers.”
MOLPay-FPX Plan charges a 299 ringgit (MYR) (US$98.5) joining fee, with no charge for the first year’s maintenance fee but rising to MYR99 for subsequent years or waived when the minimum requirement is met. Each transaction costs MYR2 and the weekly settlement fee is also MYR2.
On day one of SIBOS, panellists unanimously agreed that doing nothing to modernise payments was no longer safe bet for transaction banking.
On day one of Sibos 2017, Stefan Dab, The Boston Consulting Group led a conversation examining the future of correspondent banking, and specifically the pain points corporate treasurers face in their cross-border payments operations and where technology can be developed to alleviate these.
Rising interest rates, excitement around blockchain use cases and cross-border payments were all hot topics at this year's AFP conference in San Deigo.
Today CGI and GTNews have announced the launch of the fifth annual Transaction Banking survey report, which offers which offers critical insight into the corporate-to-bank relationship.