Greece to Cap Banks’ Charges on Cash Transfers

Greece It’s stated It goals to set a most restrict on cash switch charges at banks, whereas eliminating shopper invoice cost charges.

As Bloomberg Information I mentionedPrime Minister Kyriakos Mitsotakis made the announcement to lawmakers on Sunday (December 15). efforts earlier than Banks to cut back Administrative prices for purchasers “It wasn’t sufficient.”

Introduced Mitsotakis A roof €0.50 ($0.52) on financial institution charges for transfers as much as €5,000 ($5,249). In the meantime, prospects won’t see any extra charges after they pay their payments.

The report stated that there’s rising stress on the Greek authorities to place new controls on the nation’s banks after a protracted interval of suspension. Debt crisis This required $67 billion in authorities intervention to maintain lenders solvent.

Through the first half of 2024, banks in Greece recorded simply over $1 billion in internet price earnings, a rise of 16% from the earlier 12 months, the report stated, citing knowledge from the nation’s central financial institution.

The Prime Minister additionally stated that banks will contribute $104 million to rebuild previous colleges or Development New. Banks may even see taxes on the properties they handle double.

“The funds means, above all, realism,” Mitsotakis stated because the nation prepares to vote on its subsequent funds.

In associated information, the problem of financial institution charges in america has led to authorized motion in opposition to… Consumer Financial Protection Bureau (CFPB) after the regulator issued its ultimate rule on overdraft companies final week.

A gaggle of economic organizations He owns I filed a lawsuit Allegedly, the CFPB exceeded its regulatory authority with this new regulation and that it It didn’t adequately think about how its actions would hurt shoppers.

For its half, the CFPB says it’s making an attempt to close down what it calls “The Outdated Overdraft Loophole” The brand new rule, scheduled to take impact in October subsequent 12 months, requires banks and credit score unions with property exceeding $10 billion to comply with three tracks for his or her overdraft applications. They will set an overdraft price of $5; Set charges to cowl prices and losses solely; Or adjust to normal lending legal guidelines.

In the meantime, PYMNTS wrote earlier this 12 months that banks Keep away From offering conventional “free” companies and merchandise, there Opportunity for new banks To grab market share.

“However it will solely occur in the event that they formulate enterprise fashions which can be much less reliant on trade/transaction volumes in an setting the place shoppers are risky about how a lot and the place they spend,” that report stated.