European banks, smarting from the latest European Commission survey on cross-border euro transfer fees, argue the fees are justified because of legal and technical delays, and market competition.
In a report released last week on a March inquiry, the commission deplored what it called "very disappointing" fees levied by banks for euro transfers among the 15 EU member states, and warned legislation would have to be the cure.
The commission found the fee for a transfer of 100 euros (92 dollars) between two banks averaged 24.09 euros.
That was a significant increase from the 17.36-euro average reported in the commission's previous survey, released last July but limited to the 12 euro-zone nations.
Despite banks' pledges to reduce their euro transfer fees, the latest survey shows that Brussels has no alternative to enacting top-down control, said European Commissioner for Internal Markets Mr Frits Bolkenstein.
In July Mr Bolkenstein proposed a measure to require banks to align their European and domestic transfer fees.
The draft directive orders all cross-border euro transfers through automated teller machines to be totally harmonised by January 1st, when euro banknotes and coins become legal tender in the euro zone, replacing national cash.
It also sets a deadline of January 1st, 2003 for euro interbank transfers and check transactions.
AFP