IN STA PAY INTER CONNECTS FINANCIAL INSTITUTIONS FOR SEAMLESS FUNDS TRANSFER IN REAL TIME
There’s an ongoing digital transformation of financial services. It’s called instaPay—and BancNet is at the center of it all.
In a nutshell, instaPay is the real time account-to-account payments or transfers of funds. It interconnects banks and nonbank electronic money issuers (EMI) nationwide, which allows users to seamlessly send and receive money between accounts maintained in any of the participating institutions.
BancNet, the sole electronic payments network in the country, built and operates the technical infrastructure for this breakthrough funds transfer and payment facility. BancNet is designated by the Automated Clearing House (ACH) to serve as the clearing switch operator handling instaPay’s day-to-day operations for an initial period of two years.
Like an integrated network of superhighways conveniently connecting strategic areas all over the country, BancNet’s infrastructure for instaPay is a digital superhighway for the smooth and fast movement of low-value payments 24/7.
“We rose to the challenge and worked with the ACH participants to deliver a low-cost, efficient, secure and reliable fund transfer service by early 2018. This underscores our commitment to play a major role in BSP’s vision of a National Retail Payments System and our capability to be the CSO of multiple ACHs moving forward,” said Nestor V. Tan, BancNet’s Chair- man of the Board.
There’s an endless array of convenience and practical uses that consumers could enjoy with instaPay. Today, practically anyone can make online payments for bills or even pay government taxes, licenses, and other fees, even after banking hours, on weekends, or even holidays.
Reduced cash usage allows banks and the government to minimize security, transport, and other incidental costs that come with cash handling.
“With instaPay, we see greater empowerment of both the public and private sectors. Greater efficiencies of electronic payment channels will also bring about an accelerated velocity of payments, increasing economic activities,” said Bangko Sentral ng Pilipinas Governor Nestor A. Espe- nilla, Jr. during the launch of instaPay in April.
Anyone with a bank account or e-wallet can send funds using his or her cellphone, tablet or laptop to access his or her bank’s or EMI’s mobile app or Internet banking site anytime of the day or night and anywhere he or she may be. Recipients will receive the money as soon as it is sent.
instaPay can be used to pay persons like plumbers, caterers, doctors, lawyers and other providers of goods and services. It can also be used to send money such as allowances of children or parents, rent to a landlord, or help for a sick relative. The recipient instantly receives the money in full without any charges deducted.
“We see a rise in public confidence in making electronic payments—this can, and will result in positive culture change. As more and more consumers gain confidence in making electronic payments, we look forward to the market expanding with more innovations,” Espenilla said.
The maximum amount that can be sent using the instaPay system is Php50,000 per transaction. However, multiple fund transfers can be done in a day. The sending fee, which may vary from bank to bank or EMI, is affordable regardless of the amount sent or where it is sent.
With instaPay, participating financial institutions are granted greater opportunities to diversify and widen the products and services they offer.
instaPay is secure as it is protected by strict data security standards required by the BSP. One of these is two-factor authentication which verifies, through a unique code known only to the sender, whether the sender is the owner of the account or not.
Currently, there are 28 financial institutions offering the instaPay service.
For sending and receiving transactions: Asia United Bank, BDO, China Bank, China Bank Savings, Equicom Savings, Metrobank, PBCom, PS Bank, Security Bank, UnionBank.
For receiving transactions only: Bank of Commerce, CTBC Bank, EastWest Bank, GXchange, Land Bank, Malayan Bank, Omnipay, Partner Rural Bank, PayMaya, Philtrust Bank, PNB, RCBC, RCBC Savings, Robinsons Bank, Sterling Bank, Sun Savings Bank, UCPB, and Yuanta Savings.
More banks and non-bank EMIs will offer instaPay soon.
Werose to the challenge and worked with the ACH participants to deliver a lowcost, efficient, secure and reliable fund transfer service by early 2018. This underscores our commitment to play a major role in BSP’s vision of a National Retail Payments System and our capability to be the CSO of multiple ACHs moving forward Nestor V. Tan Chairman of the Board