Nepal Clearing House Limited (NCHL) has announced that fund transfers made via Retail Payment Switch (RPS) for up to Rs 500 will now be free. The decision benefits users of digital wallets, mobile banking apps, and ConnectIPS, who can transfer the amount without incurring a cost.
Releasing a notice on April 02, 2025, NCHL said that all the fund transfers on the ConnectIPS web and app, smart mobile banking apps, and digital wallets incur no charge for amounts up to Rs 500. According to the company, this policy has already come into effect starting from April 01, 2025. But banks, financial institutions, and other payment service providers (digital wallets) need to make necessary arrangements to implement this policy.
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New RPS fund transfer fee on digital wallets, bank apps, and ConnectIPS
According to NCHL, the fee for fund transfer up to Rs 500 is free. But it costs Rs 4 for a transfer for amounts between Rs 500 to Rs 5,000 and Rs 8 for amounts above Rs 5,000.
On the other hand, there is a different fee scheme for creditors and merchants. According to NCHL, merchant/creditor payment of up to Rs 500 is charged Rs 2, while it’s set at Rs 4 for payment between Rs 500 to Rs 5,000, and Rs 8 for above Rs 5,000.
The new fee structure impacts millions of users. Currently, 52 banks and financial institutions have enabled RPS on their mobile banking apps, while cashout is available on over 13 digital wallets.
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