Tuesday , January 31 2023

Hawkers gets faster access to funds from Nets, Singapore News & Top Stories


SINGAPORE – In a move to tackle hacker's payment delays in late electronic payments, Nets said on Thursday (January 17th) that Nets's transactions made before 17:00 will land in bank accounts of hawkers until 11:00 on the same day.

Receipts from transactions after 17:00 will be credited to the bank accounts of hawkers before 9 o'clock the next day.

The company said the initiative, launched on Thursday, will improve cash flow and will give hawkers faster access to their funds.

To be eligible for this new system, hawkers must have a DBS, OCBC or United Bank Overseas Bank account.

CashCard and Nets FlashPay transactions do not apply to same-day settlements.

Hawkers told The Straits Times that the new system is an improvement over the previous one, where they were able to earn only on the next business day.

This meant that hawkers who recorded Nets transactions on a Friday had to wait until after the end of the week before they could receive the proceeds.

Chelve Magan, 37, co-owner of Seyon Briyani's Palace in Toa Payoh, told The Straits Times that the new initiative is worried about the need to wait for sales revenue.

She has used the payment system for nearly six months, with about 20% of her income.

"It is easier for us to cover our expenses with money coming in the same day," she said.

"It will help me pay my staff promptly at the end of the day."

More than 4,000 seats in hawker halls, cafes and canteens accept payment through networks.

The new initiative was the result of a collaboration between Nets and DBS, OCBC and UOB.

Nets said in a statement he hoped the move would encourage more hawkers to adopt electronic payments.

Hawkers need not take additional measures to qualify for settlement on the same day.

But for some hawkers, change is of no importance.

Mr. Kelvin Lee, 39 owner of Kim Keat Hokkien Mee, only accepts money at his stand. He said in Mandarin: "During the day, we have suppliers coming in different times.

"We pay them in cash, so we need cash at hand at any time."

He added, "The cash transaction is even quicker. There is no need to wait for the machine to load and people to take out their phones or enter PIN numbers."

Mr. Lim Giam Sock, 70, the owner of Sin Heng Coffeeshop, said that while accepting payment by Nets, most clients prefer to pay in cash because of the small amounts spent.

It sometimes records only a Nets transaction every two days.

The last network ads are in the background of a national request for cashless payments.

In September last year, the company was named to unify the scattered electronic payment landscape here and made cash payments to all 12,000 stalls at the hawker halls, canteens and cafes in Singapore.

Merchants will be provided with a card payment terminal and the QR QR code, called SGQR, to accept and process transactions from around 20 payment schemes, such as Singlet Dash, GrabPay and Alipay.

The terminal will be hired free hawkers in the first three years after signing with the Nets. Trading fees of 0.5% will be borne by the Government during that period.

By August, customers who dine at cafes, hawker halls and industrial canteens can choose from payment schemes through unified contact points.

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