NMa keeps an eye on costs for payment methods

Starting this year, the Netherlands Competition Authority (NMa) will periodically request information from Dutch banks and credit card companies about the tariffs for the use of their payment methods such as debit cards and online banking services. The NMa will use that information to monitor these tariffs, especially in view of the introduction of a single European payment area (SEPA), which was launched in 2008.

Earlier this year, the NMa carried out a so-called baseline measurement among Dutch banks, Visa, Mastercard, and organizations that sign contracts with retailers. The measurement's results revealed that it is worthwhile for consumers and business customers if they would first make a comparison of the various payment methods' tariffs and then make a choice. Consumers could save dozens of Euros on their checking account, including online banking and debit card, if they would switch from the most expensive bank to the least expensive one. Whereas the tariffs for checking packages somewhat vary, the tariffs that business customers pay per transaction though do not, as they are all pretty much within the same range. Yet even these business customers can benefit from switching, considering the often large number of transactions that these kinds of customers deal with. Transferring money through online banking, which usually costs less than 10 eurocents per transfer, is less expensive than using a paper slip, which costs more than €1 at most banks.


The NMa now has a complete overview of tariffs that banks charge their customers, and of fees between banks, enabling the NMa to compare tariffs between banks. However, a tariff comparison over time may prove to be as interesting, especially after a second measurement is carried out sometime next year, at which point the NMa is able to comment on the tariffs' development.


SEPA will make it easier for consumers and businesses to make international financial transactions using a current account. In addition, SEPA will offer opportunities for more competition in the payment market, which will eventually lead to lower prices. SEPA is a joint initiative of the European banks.