Of Special Interest
- Financial wellness affects half of peoples’ mental or physical health, finds report
- Study finds traditional financial institutions embrace Fintech disruption
- Grass is greener for environmentally friendly businesses, finds Barclays
- Prospective homeowners would consider a 40-year mortgage to escape renting, finds Santander
- Millennials’ needs are changing the face of banking industry, says new report
- FS is putting consumer data at risk by failing to protect mobile apps, says Arxan
- A lack of belief in their ability holds 28% women back in work, says Cambridge & Counties
- ‘Which?’ reveals Scotland has lost over a third of its bank branches in eight years
- Next downturn unlikely to be as bad as 2008, according to S&P
- FCA reveals findings from first cryptoassets consumer research
- US consumers favour single mobile app for banking and payments
- Banks suffering major IT shutdowns every day, ‘Which?’ reveals
- The US will be a key offshore centre in 2019, says GlobalData
- Debit industry changes markedly in 10 years of the Debit Issuer Study
- UK's ‘Big Five’ face ‘too big to compete’ as small challengers secure stellar returns
- Banks as vulnerable now as before crash, says new study
- Leverage ratio a constant conundrum for European and US banks, says SNL
8th July 2011
French card interchange fees reduced
The Autorité de la Concurrence, the French competition regulator has forced a significant reduction in the card interchange fee that is paid to the card issuing bank or to the owner of an ATM. The interchange fee paid on purchases will be reduced from 0.47% down to 0.3%. The interchange fee on cash withdrawals from an ATM will reduced from €0.72 to €0.57. This represents reductions of 36% and 21% respectively.
The interbank payment fee, paid by the retailer's bank to the cardholder bank, will decrease from 0.47% to 0.3% of the transaction value and the interbank withdrawal fee paid by the cardholder issuing bank to the owner of a particular ATM machine will be reduced by €0.72 to €0.57. The regulation relates only to domestic card card payments.
The regulator is under the impression this should result in a reduction in the fees charged to cardholders by the banks. Under pressure the banks had offered to reduce interchange fees, however not by as much as the regulator has determined.