Singapore-based financial services platform Chocolate Finance has temporarily halted instant withdrawals due to a spike in customer requests, according to a notice published on the company’s mobile app on Monday (10 March), as seen by The Business Times.
Withdrawal requests during this period will face processing delays, expected to take between 3 to 10 working days instead of occurring instantly, the company said.
The increased withdrawal volume follows Chocolate Finance’s recent announcement that customers could no longer pay bills via the AXS platform using their Chocolate Finance cards.
The suspension of this particular service is said to have prompted a surge in withdrawal requests.
Chocolate Finance, established in July last year by Walter de Oude who was formerly the founder of Singlife, manages close to S$1 billion in assets.
Customer deposits are invested in fixed-income funds managed by professional fund managers, with returns dependent on these underlying funds’ performance.
While Chocolate Finance is not covered by the Singapore Deposit Insurance Corporation (SDIC), customer deposits are held separately by custodians HSBC and State Street.
Funds remain ringfenced, providing protection for customers if the company faces operational difficulties.
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