Date
21 September 2017

Top banks cut fund transfer limit for Alipay clients, paper says

China’s four major state-owned commercial banks have lowered the maximum amount that customers can withdraw for online transfer to third-party payment service Alipay and investment in Alibaba Group’s online money market fund Yu’E Bao from 50,000 yuan (US$8,038) to 5,000 yuan per transaction, with the monthly total capped at 50,000 yuan, the Beijing News reported Monday. The move by Industrial and Commercial Bank of China Ltd. (01398.HK, 601398.CN), Bank of China Ltd. (03988.HK, 601988.CN), China Construction Bank Corp. (00939.HK, 601939.CN) and Agricultural Bank of China Ltd. (01288.HK, 601288.CN) marked the most difficult and proudest moment for Alipay, Alibaba chairman Jack Ma was quoted as saying. While banks cited fund security as reason for the new policy, analysts said they were trying to stop losing customer deposits to new online financial products, which offer higher interest rates, the report said.

– Contact HKEJ at [email protected]

EL/AC/CG

 

EJI Weekly Newsletter

Please click here to unsubscribe