E.U. Commission Seeks to Lower Fees for Non-Euro Bank Transfers

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Picture source: Reuters.

The European Commission wants to force banks to lower fees for cross-border transfers that are denominated in currencies other than the euro, according to an action plan obtained by Handelsblatt.

The E.U. executive body argues that high minimum fees make transactions in other currencies – such as the Swedish and Danish krone and the Polish szloty – “very expensive.

Cross-border transfers denominated in euros, by contrast, cannot cost more than domestic transfers. The commission wants to extend this rule to the currencies of E.U. member states that don’t use the euro.

The action plan calls for Brussels to present draft legislation in the fourth quarter of the year. The commission has proposed a raft of other measures to make cross-border bank transactions in the European Union easier and more transparent.

Banks, for example, would be required to publish their exchange rate for credit card payments and ATM withdrawals in other E.U. currencies. The commission also wants to implement E.U.-wide standards for consumer credit ratings used to review loan applications.

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