Nagad cuts cash-out charge to Tk 9.99

Mobile financial service (MFS) provider Nagad has cut down the cash-out charge to Taka 9.99 for per Taka 1,000 which appears to be the lowest rate in the country.

The fastest-growing MFS operator, a window of Bangladesh Post Office, is offering the cheapest withdrawal rate on the occasion of the 74th birthday of Prime Minister Sheikh Hasina, said a Nagad press release on Thursday.

However, the customers, who don’t use mobile app for cash-out, have to pay 12.99 taka for making transaction through USSD.

Nagad said users will have to withdraw at least 2,100 taka in a single transaction to avail of the new rate and a 15 percent Value Added Tax (VAT) will be applicable.

Nagad managing director Tanvir A Mishuk said, “We have always been against a high rate of cash-out charges and we think the cash-out charge that has been prevalent for the last decade (20 taka per 1,000 taka) is an injustice to customers. That is why Nagad has been offering lowest cash-out charge to customers since its inception.”

Mentioning this offer for Nagad’s customers as part of their celebration of Prime Minister Sheikh Hasina’s birthday, he said it will make the cost of using Nagad much more affordable than ever before and will accelerate the digitalization of financial transactions.

“We think the government can take an initiative to fix the maximum cash withdrawal charge for all mobile financial services,” added Tanvir.

With this lower cash-out charge currently, Nagad users are also enjoying a free of cost transaction within the network, whereas other operators charge intra-operator transactions.

Earlier, aiming to stand beside the small business entity Nagad introduced 6 taka as the charge for every 1,000 taka cash-out for five types of small business entities to cut their cost of doing business during the coronavirus pandemic.

Rolled out commercially on March 26, last year, Nagad already became the second mobile financial carrier in Bangladesh.

(Source: BSS)