Results 1 to 2 of 2

Thread: Bank Charges

  1. #1

    Bank Charges

    May be of interest if anyone is still left on the forum

    Seen in the latest Canarian weekly

    Bank account commission in Spain to be capped at €3 a month

    BANKS will be forced to cap current account commission or ‘admin charges’ to just €3 a month by March 25
    in a welcome move introduced this week by Spain’s national government.

    Depending upon where you bank, charges can vary from €1.50 to over €12 a month on each and every account,
    meaning it is not worthwhile setting up separate ones for bills, holidays, car expenses and so on.

    Even at €3 a month, banks will still be netting €36 per year per account, but with the high-street finance
    industry being forced more and more to become competitive and offer customers good reasons to stay,
    some are opting to reduce or even axe commission altogether.

    Unfortunately, many banks continue to demand a minimum average balance of around €2,000 to €3,000 a
    month to waive commission – amounts unlikely to be maintained by the ordinary wage-earner and high
    enough that €36 a year in admin fees would not make much of a dent.

    The difference now is that the €3 a month maximum must cover credit and debit cards, meaning charges
    for renewing expired ones must be included, and up to 120 annual withdrawal or payment operations within
    the entire European Union, not just Spain, to include direct debits, standing orders and transfers.
    Once these 120 transactions – averaging 10 per month, which is very low for a current account used
    for everyday expenses – have been exhausted, banks are still not permitted to increase commission
    beyond their usual amounts for these operations to compensate for any losses by the €3 cap.

    This means if a bank does not normally charge for withdrawals, payments or standing orders, it will
    not be able to do so once 120 transactions in a year have been made.

    Transferring money between accounts held at different banks will be amended by the new requirements,
    making them much easier – and, in most cases, free of charge.

    Banks are also required to tell customers about the best deals they can offer on accounts and
    commissions, whether or not this information is requested.

    The €3 cap will be reviewed every two years by the Bank of Spain, meaning it may go up, or
    even down, depending upon various macro- and micro-economic factors.

    Once details of the new law are published in the State Official Bulletin (BOE) on March 25,
    they will go live within 20 days and banks will be required to comply.

  2. #2

    Re: Bank Charges

    Has anyone used Bankia. I have been advised their non resident accounts are frer

Similar Threads

  1. Finance Bank charges
    By karaokeking in forum Banks and Finance in Tenerife
    Replies: 11
    Last Post: 18-12-2013, 17:57
  2. Other Which bank has the lowest charges in Tenerife?
    By Sun-Lover in forum Banks and Finance in Tenerife
    Replies: 9
    Last Post: 03-06-2013, 15:39
  3. Why do bank charges vary so much in different machines in Tenerife?
    By Leam_Lin in forum Banks and Finance in Tenerife
    Replies: 8
    Last Post: 29-09-2012, 16:43
  4. Finance What are the charges and costs for transferring money from UK into my Spanish bank?
    By Phynethanx in forum Banks and Finance in Tenerife
    Replies: 2
    Last Post: 10-02-2012, 13:05
  5. Is there any way of avoiding Bank Charges in Tenerife?
    By polremy in forum Banks and Finance in Tenerife
    Replies: 14
    Last Post: 09-11-2011, 17:51


Posting Permissions

  • You may not post new threads
  • You may not post replies
  • You may not post attachments
  • You may not edit your posts


Please click the "Report Post" button under any post which may breach our terms of use.