MAS and ABS to launch e-payments and extend corporate cheque deadline

These solutions aim to address the needs of corporate and retail users and complement existing e-payment systems such as PayNow, FAST, GIRO, and MEPS+. To facilitate this shift, the cessation deadline for corporate cheque processing has been extended by one year. 

ABS, in collaboration with Domestic Systemically Important Banks (D-SIBs), will roll out two electronic deferred payment (EDP) options, EDP and EDP+, by mid-2025. These systems are designed to accommodate specific cheque use cases, including post-dated payments and transactions requiring enhanced payment certainty. Accessible through digital banking platforms, both solutions will use PayNow for convenient identification of payees. MAS encourages cheque users to adopt these alternatives as they become available. 

The MAS and ABS have extended the deadline for phasing out corporate cheque processing to 31 December 2026 to give organisations additional time to transition. Although banks will stop issuing new corporate cheque books after 31 December 2025, existing cheque users are advised to ensure all payments are cleared well before the extended deadline. 

This adjustment follows an earlier plan to eliminate corporate cheques by 2025, with stakeholders noting the need for more time to adapt to new and existing e-payment methods.

Ongoing access to retail and USD cheques

Retail cheques, as well as cashier’s orders and USD cheques, will remain available for individual and corporate use. Additionally, major retail banks in Singapore will continue to waive cheque-related fees for senior citizens. 

MAS has released a public consultation paper detailing the proposed roadmap for transitioning from cheques to e-payments. The paper includes initiatives addressing the specific needs of users and encourages feedback from stakeholders. Interested parties are invited to submit their input by 17 January 2025.