92002E0792

WRITTEN QUESTION E-0792/02

by Eluned Morgan (PSE) to the Commission

(20 March 2002)

Subject: The euro

When exchanging money into euros from other currencies, EU citizens are often attracted to organisations which advertise commission-free transactions, however a poor exchange rate means that people can be misled and charged more than they should be.

How does the European Commission intend to warn EU citizens from outside the euro-zone, such as the UK, about poor exchange rates and potentially misleading claims when exchanging other EU currencies into the euro particularly in holiday resorts in the EU?

Answer given by Mr Bolkestein on behalf of the Commission

(6 May 2002)

There is no specific Community legislation on the conversion of non-euro zone banknotes.

However, it is important that consumers are clearly informed of the cost of transactions so that they can compare and choose. Several Member States have drawn up rules enabling consumers to be aware of the amount of commission prior to the transaction, for instance by displaying the relevant rates. At this stage, the Commission does not see any need for approximation of the rules governing information for consumers in this field, but it would refer the Honourable Member to the provisions transposing Council Directive 84/450/EEC of 10 September 1984 relating to the approximation of the laws, regulations and administrative provisions of the Member States concerning misleading advertising into national law(1). This text, which is designed to eliminate or prohibit misleading advertising (defined as any advertising which in any way, including its presentation, deceives or is likely to deceive the persons to whom it is addressed or whom it reaches and which, by reason of its deceptive nature, is likely to affect their economic behaviour or which, for those reasons, injures or is likely to injure a competitor) could well apply in the particular instance referred to by the Honourable Member.

(1) OJ L 250, 19.9.1984.