Why Nepal Charges Rs 11.30 for Sending Rs 1 | High Banking Fees Explained

A recent social media post questioning why it costs Rs 11.30 to send just Rs 1 between banks in Nepal has gone viral, triggering widespread frustration. The screenshot shows someone trying to transfer Rs 1 from one bank to another, with a shockingly high fee attached.

People are not happy, and they’re making it known. "How can sending a single rupee cost me Rs 11.30? This makes no sense at all!" one angry commenter posted, capturing the mood of many. The complaint centers around the Rs 10 fee for transferring money between banks, with an extra 13% tax, making even tiny transactions feel expensive.

The Real Cost of Small Transfers

For those who frequently transfer small amounts, these charges can feel unfair, especially when the fee is more than 11 times the amount sent. If you’re using mobile banking to send money between two different banks, this is the cost you’ll face.

Interestingly, transactions through merchant QR codes don’t carry the same fee. But if you're transferring money to a personal account or through a money transfer service, the additional Rs 11.30 charge applies. This inconsistency adds to the frustration for many, especially those who regularly make small personal transfers.

PM Oli’s Promise: Relief on the Horizon?

Prime Minister KP Sharma Oli recently acknowledged the issue, saying he’s heard the complaints loud and clear. Speaking a few weeks ago, Oli mentioned that the government is discussing either lowering these fees or removing them altogether for small transactions, particularly those done through mobile banking.

“We know that people making smaller transactions are being affected by these charges,” he said. “We’re working on a solution to make it easier and fairer.”

However, despite this promise, no concrete action has been taken yet. People are still paying the same fees, and there’s no official word from the banks or the government about when or if this might change. Many are left wondering when these discussions will turn into real action.

Why the Government Wants to Stop Personal Account Payments

Aside from the fee itself, the government is also cracking down on businesses using personal accounts for payments. Authorities argue that it makes tax collection more difficult and encourages tax evasion. Businesses are encouraged to use proper merchant accounts, which have different fee structures and make tax compliance easier.

Will Anything Change?

For now, customers are stuck with these fees. Despite the outrage on social media and the Prime Minister’s promise of change, the fees remain in place, and people continue to feel the pinch of high charges for low-value transactions.

As discussions continue, it’s clear that action needs to be taken. With the rapid growth of digital banking and financial inclusion being a major focus, resolving this issue could help build trust and encourage more people to adopt banking services.

But until something changes, sending Rs 1 in Nepal might still cost you Rs 11.30.