The six main Spanish banks entered more than 11,000 million euros in commissions during the first half of 2019.
With increasingly narrow margins, furious competition increased by the emergence of fintech, fragile stock exchange and a hostile environment for business with interest rates on land, in the sector they are clear: bet on commissions.
There is even talk of a general rise in them.
Charge for deposits
Reduction of expenses, the closing of offices, massive pre-retirement … The bank no longer knows where to throw to remain competitive, to keep pace with benefits. So more or less imaginative or controversial formulas are sought as long as they can cause a strong rejection in society.
Among them, the much-vaunted possibility of charging retail customers for deposits, as they have already raised from Banco Sabadell.
Today, financial institutions only tax institutional clients – like other banks or insurers – for these financial products, but, if the types continue to dance to it, everything can happen.
Are you a Santander customer? Eye to the new commissions
A separate chapter deserves the entity led by Ana Patricia Botin, who pocketed no less than 624 million euros in commissions between January and June of this year. The policy shift on these rates is evident. Not only are they ideas that have not come to fruition – such as the announcement to charge companies for non-operational accounts made in July – but it is already a reality.
Thus, Santander Bank can charge up to 116 euros per year of commission for its standard account. It does not matter if you do not make any movement, since last September 17 is what there is.
More specifically, it should be noted that customers who until now paid 24 euros per quarter will reach 29, adding an additional cost of 65 cents per note. However, they are not the most drastic cases, since for other users the increase will be from zero to 29 euros every three months. The entity argues that this increase is intended to border the marginal accounts to standardize conditions and attract customers to 1 | 2 | 3.
Bank fees, very variable
In case you have any doubts, do not forget that bank commission rates lack regulation. In other words: banks have the power to charge what they freely decide for that concept. However bulky the figure may be.
Just as you can also choose the entity that you like, including of course those that, as a general rule, do not charge commissions. That there are.
There are, however, cases in which the amount of commissions is limited by a rule, such as, for example, the early cancellation of a mortgage or a consumer credit.
The most common bank fees
The aforementioned maneuvers of the larger Spanish bank do not represent, as already noted, an exception in the sector. With what, as customers, it’s time to be keen to watch. The first thing is to know if you are entitled or not to a free bank account.
If this is not the case – which is quite probable – we advise you to discover the most common commissions that your bank may be charging you without you noticing.
This rate is generally linked to the use made of the bank account itself. Most often, it consists of a fixed amount for each note taken during a given period.
However, it is common practice to exclude from its application a certain number of notes (for example, the first twenty) and/or a specific type of movement (for example, exclude all cash receipts).
This is the amount obtained by the financial entity for the administrative efforts made to formalize an operation, which is usually a percentage of the amount thereof, with a minimum established.
Early redemption commission
This amount remunerates the corresponding administrative procedures that the bank must carry out to end an operation that had a defined term of duration before the expiration agreed in the contract.
“It compensates the entity for what it stops winning by not being able to continue charging interest or commissions for the risk it was assuming during the period of time in which the operation was active,” as explained by the Bank of Spain.
The following bank rate remunerates the basic cash service, the day-to-day and most used by the customer. In most of the entities, it includes the income and reimbursements in cash or provisions by check, debts and income that are derived from the periodic settlements of the account itself and the delivery of the means of habitual availability of the deposit (checkbooks or notebooks).
Other services or notes are also added, such as the custody of money, the maintenance of the necessary records for the operation of the deposit or the right to order charges and payments into account.
Cash withdrawal commission
This cost “pays for the cash withdrawal service with a card at ATMs or at the counter. In ATM operations there are limits to the fees that can be set by the holders of the ATMs and the card issuers, as well as certain information that Cardholders must be provided in those cases.
In addition, you should allow yourself to withdraw from the operation if you do not agree with the commission, “they remind from the supervisor. In this case, the following 10 keys to using the credit card abroad and paying less commissions may be useful. .
Commission for transfer
This commission compensates entities for the transfer execution service. The expenses of these operations can be paid in full by the payer (OUR clause), by the beneficiary (BEN clause) or shared between them (SHA clause).
Commission for ATM inquiries
Although from the user’s perspective it may seem surprising that there is a commission for making a simple cashier consultation (balances, movements, etc.), indeed, it exists. It is more common to run into it when it is made at an ATM that does not belong to the network of the financial institution in which you have an open account.
What happens if you spend spending and your balance is below zero? Well, except for agreed exceptions, an overdraft commission will appear, which rewards the entity for the granting of a credit facility consisting of the admission of charges in a bank account without having sufficient balance. Normally, it is calculated on the highest debit balance of the account in the settlement period.
Of course, keep in mind that this figure cannot be applied if the overdraft occurs only as a result of the different valuation dates or because you have been charged commissions on the account.
Commission for payments abroad
One of the classics in the field of the most common commissions that your bank may be charging you without you noticing. At least, not at the time of the operation: you use the card abroad – when you are on vacation, for example – and when you return and check the account … Surprise! Commissions everywhere. The commission for payments abroad can be given for currency exchange, for purchase transactions in shops or cash withdrawals at ATMs.
Therefore, we advise you to check the rates that your bank applies in this field before leaving. If you want to know more about this point, here you can discover the commissions that may be charged for using your card abroad.
Finally, among the 10 most common commissions that your bank may be charging you without you noticing, the fee is placed for the study or analysis of the risks of an operation. It is usually a percentage of the amount thereof, with a minimum.
As in the previous case, we recommend that you inform yourself in advance of the scales that you manage in your financial institution.
All bank commissions
In addition to those that are charged most frequently, there are other fees, some large unknown, that financial institutions exploit. For you to be prevented, here is the list of all the commissions that, depending on the circumstance, the Bank of Spain expects to charge you. It is not a trivial theme since there are up to 41 concepts (including the previous 10).
- Early cancellation commission.
- Issuance and cancellation commission.
- Maintenance commission on accounts linked to mortgages.
- Commission for deferment of payment.
- Commission for early cancellation of the term deposit.
- Commission for compliance.
- Commission for return.
- Commission for credit availability.
- Commission for issuance, renewal and tenure.
- Commission for excess over the limit.
- Commission for collection or compensation management.
- Commission for managing default declaration.
- Commission for payment order management.
- Commission for protest management before a notary.
- Commission for cash deposit in third party account.
- Commission for modification of conditions or guarantees.
- Negotiation or discount commission.
- Commission for claim of debit positions.
- Commission for cash collection or home delivery.
- Commission for early invoice repurchase.
- Currency count commission.
- Commission for risk.
- Commission for subrogation of the debtor.
- Commission for transfer with incorrect or incomplete data.
- Commissions for other services with checks.
- Commissions for other services with cards.
- Commissions for other services related to documentary credit management.
- Compensation or commission for refund or full or partial early repayment.
- Withdrawal compensation.
- Compensation for interest rate risk.
- Mail expenses
Now that you know what the most common bank commissions are, you just have to sit a few minutes to review the movements of your account this last year to see which ones appear and then negotiate them with your financial institution.