BANKING: COMMISSION GROUP DISCUSSES DOUBLE-CHARGING AND EXCESSIVE DELAYS IN EURO ZONE.

A recent study revealed that bank customers are still being charged on average a fee of Euro 17.10 for transferring Euro 100 between Member States. Moreover, in 25% of cases, the recipient of the transfer was charged part of the transfer costs, although the Directive stipulates that it is the person making the charge who must bear the cost. Once again, the Commission has appealed to the Member States for their support and insisted that their national authorities must do more to ensure that banks meet their legal obligations. Under the Directive, banks are free to set charges according to their own commercial criteria, but may not double-charge, nor take more than six days to carry out a cross-border transfer. They must also ensure that customers are provided with prior information concerning the cost of the transfer (so that they can shop around).Member States have agreed to provide the Commission with a detailed written report on the application of the rules on double charging and delays in their country, which will form the basis of future discussions.Consumer pressure?The 22 June working group meeting was part of a broader Commission strategy to create a single payment area throughout the European Union and to pressure European banks to take rapid action to bring about the necessary change to charging structures. Given the competition between banks for business, consumers can be a significant force in that process, the Commission noted. At the meeting, the Commission urged Member States to do more to encourage consumers to take up the rights they have under the 1997 Directive. The Directive obliges every Member State to appoint an Ombudsman and the Commission urged Member States to ensure that consumers know to whom they can complain, and can be confident those complaints will be forcibly taken up. The group convenes on a regular basis to discuss legal issues related to the cross-border payments Directive. This is its sixth meeting...