PETALING JAYA: Datuk Seri Dr Wee Ka Siong has expressed that the people want the Merchant Discount Rate (MDR) for the DuitNow QR code service to be permanently abolished. In a Facebook post on Sunday, the MCA President humbly appealed to the Prime Minister to bring good news during the National Action Council on Cost of Living (NACCOL) meeting on October 3.
On September 29, Payments Network Malaysia Sdn Bhd (PayNet) announced that starting from November 1, 2023, a transaction fee will be imposed on vendors for payments received through the DuitNow QR platform and transactions conducted with credit cards. However, the fee of 50 sen will only be charged for transactions exceeding RM5,000 involving peer-to-peer fund transfers between personal QR codes, not for payments made to merchants.
Dr Wee has listed several reasons why the transaction fee should be abolished. He believes that eliminating the fee would benefit all stakeholders, including consumers, merchants, and banks, and promote the use of cashless payments, thereby supporting the government’s digitalization process. By implementing cashless payments through DuitNow QR, Bank Negara has significantly reduced the need to print new banknotes and coins, leading to cost savings. Banks also benefit from the elimination of costs for preparing cash deposit machines, issuing cash through ATMs, and maintaining cash flow and security.
Last week, Dr Wee expressed his concerns about the unfairness of imposing DuitNow charges on small businesses and roadside stalls that lack card payment facilities. CIMB has decided to postpone the Merchant Discount Rate until the end of the year, while Public Bank will continue to waive the fee until further notice. Maybank, on the other hand, has not implemented any fees for DuitNow QR and will maintain this policy until further notice.
Public Bank has announced fee waivers for QR payment acceptance, effective from October 1 until further notice. Merchants under the bank’s Enterprise Plan will enjoy fee waivers for categories such as payment acceptance via current and savings accounts, e-wallets, and maintenance and API integration fees. However, credit card transactions under the Enterprise Plan will incur a charge of 0.25%.
The DuitNow QR service allows for money transfers between banks and non-bank entities by scanning QR codes. On Saturday, Prime Minister Datuk Seri Anwar Ibrahim stated that the transaction fee for payments made through DuitNow QR and credit card transactions will not burden the low-income group in the country.
Credit: The Star : News Feed
