DuitNow: Transaction fees burden small traders – Ka Siong

SHAH ALAM - The decision to introduce new transaction fees through the QR DuitNow application starting on Nov 1 will burden small traders.

MCA President Datuk Seri Dr Wee Ka Siong said that at a time when the people struggled with the rising cost of living, every decision made should not add to the burden of the people.

He said the fees of 0.25 per cent of the transaction value for debit card payments and 0.50 per cent for credit card payments were very high compared to the fees of local debit cards like Visa or Mastercard.

He stated that the fees for local debit cards were 0.10 percent of the transaction value or 37 cents plus 0.001 percent of the transaction value (whichever was lower).

"Considering that DuitNow payment receivers (Boost, GrabPay, Setel, and Touch 'n Go) are small traders or roadside stalls that do not have card payment machines, the new DuitNow rates are very unfair to this group," he said on Facebook on Wednesday.

He added that this indirectly hindered the growth of cashless payments and might disadvantage small traders.