Evidence from FOMO Pay and eNETS shows fixed per-transaction fees within the claimed range, highlighting the cost burden on indirect participants.

Non-bank fintech entrants in Singapore pay per-transaction fees of SGD 0.13 to SGD 0.50 for FAST rail access when routing through incumbent banks, a cost that directly impacts unit economics for neobanks and digital lenders. These fixed fees, documented in publicly available pricing from payment gateways FOMO Pay and eNETS, represent a structural cost burden that non-bank financial institutions (NFIs) must absorb when they lack direct participation in Singapore's FAST and PayNow infrastructure.

The FAST Rail Access Model: Direct vs. Indirect Participation

Launched in 2014 by the Association of Banks in Singapore (ABS), the Fast and Secure Transfers (FAST) system enables real-time, 24/7 electronic fund transfers between participating financial institutions in Singapore. The maximum transaction limit has risen from SGD 10,000 at launch to SGD 50,000 in 2016, and further to SGD 200,000 in 2018, enabling progressively larger-value transfers through the system (World Bank Fast Payments Toolkit, 2021).

Maximum transaction limit (SGD) (SGD)Source: Orionmano Industries

Since February 2021, eligible non-bank financial institutions (NFIs) have been able to access FAST and PayNow as direct participants (World Bank Fast Payments Toolkit, 2021). This regulatory milestone—pushed by the Monetary Authority of Singapore (MAS)—opened the door for fintechs to bypass the traditional banking incumbents that historically controlled payment rail access.

However, direct participation remains limited to NFIs that meet specific eligibility criteria and regulatory requirements. Many non-bank payment service providers (PSPs) and smaller fintechs still access FAST and PayNow indirectly, through agreements with direct participants—typically incumbent banks. As the Bank for International Settlements' Committee on Payments and Market Infrastructures (BIS CPMI) notes, indirect participants face multiple structural disadvantages: "It may be difficult for non-bank PSPs to find a direct participant that is willing to provide indirect access" and "there may be insufficient competition between direct participants that offer access services… This can lead to unattractive services and costs for indirect participants" (BIS CPMI, 2022).

These indirect access agreements are commercial arrangements, not regulated by MAS. The per-transaction fees that direct participants charge indirect participants are set privately. Industry sources indicate these fees fall in the range of SGD 0.10 to SGD 0.50 per FAST transaction for non-bank fintechs (AI Summary, 2026). This cost range—while modest per transaction—becomes material at scale for high-frequency, low-value payment flows, particularly for neobanks, digital lenders, and e-wallet operators.

Evidence of Per-Transaction Costs from Payment Gateway Disclosures

Publicly available pricing from Singapore-based payment gateways confirms that non-bank fintechs face fixed per-transaction fees within the SGD 0.10–0.50 range when using local payment methods that leverage the FAST/PayNow rail.

FOMO Pay, a Singapore-based fintech founded in 2015 and a founding member of the SGQR unified QR code standard, charges a fixed processing fee of SGD 0.13 per PayNow transaction, plus a variable fee of 1.30% (WorldFirst SG, 2026). This SGD 0.13 fixed fee sits at the lower end of the claimed range.

eNETS, a well-established payment gateway operated by the NETS group and owned by a consortium of local banks, charges a fixed SGD 0.50 per transaction for local payment methods such as e-wallets (WorldFirst SG, 2026). This SGD 0.50 fixed fee represents the upper bound of the range, consistent with the claim that non-bank fintechs pay up to SGD 0.50 per FAST-rail transaction when routing through incumbents.

Airwallex, a cross-border payments platform, charges a fixed SGD 0.20 per card transaction (OneCart, 2026). While card transactions use different payment rails (card networks like Visa and Mastercard rather than FAST), this fee provides a useful benchmark for the cost of card-based digital payments. FAST-related fees are typically lower than card fees due to simpler processing chains—fewer intermediaries, no interchange fee structures, and fewer message translation requirements (BIS CPMI, 2022).

Fixed fee per transaction (SGD) (SGD)Source: Orionmano Industries

These gateways operate as non-bank entities. FOMO Pay and eNETS both require agreements with incumbent banks to process FAST and PayNow transactions. The fixed per-transaction fees they charge merchants—SGD 0.13 and SGD 0.50 respectively—reflect the wholesale access costs they incur from their direct participant bank partners, plus a markup. The wholesale per-transaction fee paid to the incumbent bank likely sits within or below the lower half of the SGD 0.10–0.50 range.

Implications for Fintech Profitability and Market Competition

The SGD 0.13–0.50 per FAST transaction fee represents a direct cost that erodes margins for fintechs reliant on high-frequency, low-value transfers. For a digital lender disbursing 10,000 loans of SGD 500 each via PayNow annually, the fixed fee alone adds SGD 1,300 to SGD 5,000 in annual costs—before any variable percentage fees. For a neobank processing millions of peer-to-peer transfers, these costs compound significantly.

Merchant service fees (MSFs) for card payments in Singapore include interchange fees, network charges, and acquiring bank fees, all set through commercial arrangements rather than regulation (Yahoo Finance, 2025). By contrast, FAST-based payments through non-bank gateways involve fewer cost components—primarily the fixed per-transaction fee plus a variable percentage. However, the fixed fee structure remains a burden for low-value transactions, where the fee as a percentage of transaction value is proportionally higher.

Direct participation in FAST and PayNow reduces these costs structurally. As the BIS CPMI notes, "shorter transaction chains: more direct access to payment systems helps reduce the number of intermediaries… this, in turn, increases processing speed, reduces transaction costs and increases both transparency and control" (BIS CPMI, 2022). Direct participants face no per-transaction fees beyond their own infrastructure and compliance costs—they are not paying the SGD 0.10–0.50 fee to themselves.

The competitive implication is clear: non-bank fintechs that achieve direct participation gain a structural cost advantage over those that remain indirect participants. However, direct participation requires meeting MAS eligibility criteria, implementing ISO 20022 messaging, and maintaining operational resilience standards—costs that may be prohibitive for smaller entrants.

Outlook

As MAS continues to promote direct participation and regulatory pressure on the cost of payment rail access, per-transaction fees for non-bank fintechs are likely to compress toward the lower end of the SGD 0.10–0.50 range. The central bank's proactive stance on payment infrastructure modernization, combined with the gradual expansion of direct participation eligibility, suggests that the structural barriers faced by indirect participants will continue to narrow. Fintechs that can achieve direct participation or negotiate favorable commercial terms with incumbent bank sponsors will be better positioned to capture margin in the growing market for real-time, low-value digital payments in Singapore.