Maxis, Philippine Telco Team Up for Remittance Service

May 30, 09:39 PM

Current Headlines: MAXIS users can now send money to the Philippines via their mobile phones, thanks to its tie-up with the second-largest Filipino phone company, Globe Telecom Inc.

Maxis Communications Bhd and Globe launched the world's first international mobile-to-mobile money transfer service between Malaysia and the Philippines yesterday.

Conventional methods like banks and licensed remittance providers currently charge a service fee of between RM10 and RM20 per transaction to the Philippines.

To enjoy the new service, the customers need sign up with Maxis' mobile payment service M-money, and deposit the money with an authorised Maxis centre.

They can then transfer the money up to the value of RM500 per transaction to friends and family members in the Philippines, at a service fee of RM5 plus a 15 sen SMS fee per transaction. The recipient must be a Globe's GCash customer.

"We believe M-money will revolutionise money transfer as it takes full advantage of the pervasiveness of mobile phone in this country, providing immense benefits to foreign workers across Malaysia and their families overseas, through its reach, ease of use and lower transaction costs," Maxis chief executive officer Sandip Das said at the launch yesterday.

Maxis has a Filipino customer base of about 20,000 subscribers.

Apart from the international remittance service to the Philippines, it plans to extend services to Indonesia "very soon".

The mobile international remittance service allows Maxis to tap into the billion dollar remittance industry. Transactions from Malaysia to Indonesia and the Philippines are valued at about US$4.3 billion (US$1 = RM3.40) a year. Remittance to the Philippines alone is about US$1 billion annually.

However, rival DiGi.Com Bhd will also be offering this service in a few months' time. It recently signed a memorandum of understanding with Citibank Malaysia.

Meanwhile, Maxis said it plans to offer more services around the concept of "Wave 'n Pay" - allowing Maxis customers to use their mobile phones as a Touch 'n Go card or a Visa Wave card. It is currently conducting trials with a few parties, including Touch 'n Go.

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