Two private banks stopped cash payment business, will there be banks to follow up?
Some bank site cannot deal with cash to receive and pay business actually, if depositor is anxious to take cash how should do?A few days ago, Zhongguancun Bank and Liaoning Zhenxing Bank respectively issued a notice, after reporting to the relevant financial authorities, Zhongguancun Bank will stop cash receipt and payment business from April 1, the suspension of channels including the counter branches and the ATM self-service channel;Liaoning Zhenxing Bank will stop cash deposits or withdrawals at the counter, change, damaged coins and self-help equipment deposits or withdrawals from March 1.Why did these two banks stop handling cash receipts and payments?Will banks follow?In recent years, in the context of the digital transformation of the banking industry, the number and amount of online transactions of banks and other financial institutions continue to increase, while the activity of offline business transactions is relatively low.Dong Ximiao, chief researcher at Zhaopin Finance, said commercial banks will decide whether to start or quit a business based on factors such as customer demand, service capacity and regulatory policies.From the perspective of customer demand, these two banks mainly serve small and micro enterprises. Their main products are credit products, and customers have less demand for cash receipt and payment business.From the perspective of service capacity, private banks are limited by the current situation of “one line, one line” and do not have the ability to carry out a lot of cash receipt and payment services, and cash receipt and payment business costs are high, which puts pressure on the operation of private banks.Yin Zhentao, director of the fintech research office at the Chinese Academy of Social Sciences’ Institute of Finance and Banking, said that as private banks, Zhongguancun Bank and Liaoning Zhenxing Bank are positioned to support regional economies, small, medium and micro private enterprises and ordinary financial consumers.In recent years, seeking to transform to Internet banking is also the general trend of the development of private banks, some Internet private banks, direct banks even did not launch cash payment business from the beginning, whether Zhongguancun Bank and Liaoning Zhenxing Bank have such a plan in the future, it is worth paying attention to.According to the announcement by the two banks, the purpose of the suspension is to accelerate the pace of digital transformation and continuously increase the development of online business, as well as to introduce some convenient service measures for the cessation of cash service.Zhongguancun Bank said that although branches are unable to provide cash receipts and payments, depositors who really need cash services can transfer money to other banks through the bank, and the bank will not charge transfer fees.Similarly, Liaoning Zhenxing Bank said it will offer discounts on fees for cash withdrawals from other banks’ ATMs bearing the “UnionPay” logo.Nevertheless, the suspension of cash receipt and payment business also brings inconvenience to depositors’ cash business to a certain extent. Is it reasonable for these two banks to cancel cash receipt and payment business?Experts say private banks’ suspension of cash receipts and payments is in line with regulatory regulations.In addition, at present, some small and medium-sized banks begin to reduce the number of offline outlets in order to reduce the cost of business input, which is a general trend of the digital transformation of the banking industry.But for some businesses and individuals, cash remains an indispensable financial service.First, in the digital economy era, regulators can allow some small and medium-sized banks with small cash settlement businesses to stop doing such business and respect their operational autonomy, said Fu Jun, professor and dean of the International Law Department at the University of International Business and Economics law School.Secondly, for large banks, as the services of these banks involve more enterprises and individuals, the regulatory authorities should impose more restrictions on the suspension of cash settlement business of these banks, so as to ensure the sustainable provision of cash payment business to the community and society.Finally, for the consideration of fair competition among banks, legislative or administrative measures should be adopted to give preferential treatment to banks that carry cash payment service, a public service, in the approval of innovative businesses or innovative products, so as to encourage banks to continue to provide cash settlement services to communities and society and fulfill their social responsibilities.Therefore, these two private banks plan to stop the cash receipt and payment business, which will help concentrate more resources to meet the needs of core customers and provide better services for individual businesses without affecting customers’ business handling.In the future, there may be more private banks to stop cash payment business, but for China’s banking industry, cash payment business will exist for a long time, users need not worry.(Economic Daily News)