Alignment of bank fees for cross-border EU transfers with domestic levels

Regulation (EC) No 2560/2001 of 19 December 2001 introduced a binding arrangement for the Member States regarding the costs and transparency of cross-border payments.

Generalities of the provisions and entry into force

:: as of July 1, 2002
Up to an amount of EUR 12,500, cross-border electronic payment transactions (e.g. ATM withdrawals, payments using a bank card) are to be treated in terms of fees in the same way as payment transactions in euros within a member state.

:: as of July 1, 2003
The alignment of bank fees for international transfers to the domestic level will apply from July 1, 2002 from the age of 16 for electronic payment transactions July 1, 2003 but only for euro transfers.

:: as of January 1, 2006 the amount is increased to EUR 50,000.

Information obligations

:: as of January 1, 2002 the financial institutions are already obliged to provide their customers with the International account number (IBAN) as well as Bank code (BIC) to be indicated.

:: as of July 1, 2003 The bank institutions are required to indicate the IBAN and BIC data on the account statements.
- The bank customer is obliged to inform the bank institution that carries out the transfer of the recipient's IBAN and the recipient's institute's BIC upon request. If these details are not provided, additional fees may be charged.

Explanations regarding BIC and IBAN

- Ballpoint pen = Bank Identifier Code corresponds to the standardized bank address.
- IBAN = IInternational Bank Account NThe international representation of the personal account number. Entrepreneurs who issue cross-border invoices to customers in the EU and accept payment by wire transfer must inform their customers about the two codes.

Recommendations for cross-border payment transactions

:: The company already provides Europe transfer a cost-effective form of overseas transfer within the EU and EEA area, including Switzerland. This is usually limited to an amount of up to EUR 12,500, but there are also countries with different limit amounts (e.g. Italy EUR 10,000). The bank can provide information about this.
:: The business partner must provide the IBAN and the BIC.
:: To save time, e-banking should be used.
:: Cash or check payments should be avoided, as they are particularly expensive. However, if this payment has been agreed upon, the handling of the charges should be clarified.

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