If you’ve been using PayNow to place bets or collect winnings at Singapore Pools, you may have noticed something unusual: an extra $0.10 fee per transaction.
This means that whether you are placing a bet or claiming winnings of up to $200,000, you’ll need to pay an additional $0.10 if you use PayNow.
However, this practice appears to go against the rules set by the Association of Banks in Singapore (ABS), which clearly states that merchants are not allowed to charge customers extra for using PayNow.
In a written reply on Tuesday (October 14) to a parliamentary question from Potong Pasir MP Alex Yeo, Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong said that more than 300,000 businesses in Singapore are registered to use PayNow as a safe and low cost way to make and receive payments digitally.
He added,
“Transaction fees for payments received by merchants from end-consumers are currently waived by the major retail banks, while a minimal fee is charged if the merchant uses additional services like notifications for funds received.”
Gan confirmed that the ABS is aware that Singapore Pools currently imposes a surcharge on PayNow transactions. The association is now working with partner banks to engage Singapore Pools and resolve the issue.
When contacted by Lianhe Zaobao, a Singapore Pools spokesperson said the $0.10 PayNow charge had been implemented before the ABS rule took effect.
The spokesperson explained,
“We have an agreement with our partner banks that allows us to recover transaction-related fees. This helps ensure that customer transactions are safe, reliable and accurate.”
They also stressed that customers are always informed about the extra charge before any transaction.
“The additional charge was introduced before the ABS prohibition came into effect in March last year. We are now reviewing our current practices with our partner banks to ensure they comply with ABS guidelines and maintain safe and secure transactions,” the spokesperson added.
