92001E2061

WRITTEN QUESTION P-2061/01

by Helena Torres Marques (PSE) to the Commission

(3 July 2001)

Subject: Lack of competition in Portugal

In Portugal, credit card payments made outwith the country are surcharged at 1,7 %.

How does the Commission intend to solve the problem of the lack of competition in the banking system and of properly transparent information?

How is it possible to charge a percentage on payments in euro zone countries, when there is now a single currency?

This situation has obtained since 1999. How is the Commission going to resolve it by 1 January 2002?

Answer given by Mr Bolkestein on behalf of the Commission

(17 September 2001)

The problem raised by this question could be resolved when the proposal for a Parliament and Council Regulation on cross-border payments in euros, which the Commission tabled on 25 July 2001, is adopted and comes into effect.

The Regulation would establish the principle of equal charges for domestic and cross-border payments in euros: each bank would set a single charge for the euro payments area. This principle would apply from 1 January 2002 for both card payments and withdrawals at cash dispensers. If that target date is to be met, Parliament and the Council must swiftly reach agreement so that the text can be adopted before the end of this year.

On the lack of competition alleged by the Honourable Member, it should be pointed out that charging commission on transactions does not in itself constitute a restriction of competition. The Commission is not aware of the existence of any anti-competitive agreements between Portuguese banks on the fees charged to consumers for the cross-border use of cards.