From today (Feb 8), GrabPay users can transfer funds out of their GrabPay wallets to bank accounts and other e-wallets in Singapore, with no fees involved.
According to a press release from Grab, the features will be rolled out progressively to GrabPay users.
Previously, one of the qualms many had about GrabPay was that once the money was inside the wallet, it could not be transferred out.
With the new fund transfer feature, the maximum transfer amount per transaction is S$5,000, and two transactions can be made a day.
How To Transfer Funds From Your GrabPay Wallet
Before users can transfer their funds, they will have to fully verify their identity to upgrade to a Premium GrabPay Wallet, and set up a GrabPIN.
The GrabPay wallet will be split into two categories: a non-transferrable balance, and a transferrable balance.
Funds which came from top-ups via a foreign debit card or local credit card will be part of the non-transferrable balance, and cannot be transferred out via peer-to-peer cashout or bank transfers.
On the other hand, funds that were transferred in via PayNow, local debit cards, QR codes or peer-to-peer transfers can be cashed out.
One Of The Three Non-Bank E-Wallet Players To Offer PayNow
Besides Grab, Liquid Group and Singtel Dash will also offer PayNow services from today.
This is the first time the peer-to-peer fund transfer service is made available to non-banks.
A new PayNow proxy — the Virtual Payment Address (VPA) — has been created to facilitate fund transfer between bank accounts and these e-wallets.
The VPA allows individuals to link their mobile number with an e-wallet offered by non-bank financial institutions, while keeping their existing PayNow registration.
According to The Business Times, Managing director of the Monetary Authority of Singapore Ravi Menon said that Singapore will open up its payment rails to eight non-bank financial institutions from February this year.
Featured Image Credit: Ringgit Plus
