The fresh law, approved by the European Commission, introduces innovative financial transfer arrangements in the European Union. Thanks to this project, all consumers and companies with bank accounts in the EU or 1 of the European economical Area (EEA) countries will be able to benefit from fast euro transfers at no additional cost.
The fresh rules will let for the immediate transfer of money between different EU countries, which will surely facilitate regular transactions and trade. This is an crucial step towards strengthening financial cooperation within the European Community.
The introduction of immediate payments across the EU besides responds to the increasing needs of a dynamic and fast business environment. Companies, whether tiny or large, will be able to manage financial liquidity even more efficiently and carry out commercial transactions immediately.
In addition, additional charges will be abandoned, making the usage of instant transfer services even more attractive to consumers and businesses. In this way, the European Union seeks to make a single and efficient financial market, conducive to economical improvement and to free movement of capital between associate States.
Instant transfers will be available throughout the EU
According to the reports of the ‘Legaartis’, negotiators from the European Union and the European Parliament reached an agreement on Tuesday evening, stating that banks and another payment service providers from EU and EEA countries should introduce a fresh service – immediate transfers in euro between all Community countries.
The fresh initiative will let consumers to transfer funds rapidly in just 10 seconds, even beyond the standard working hours of banks. The draft law, adopted by the European Commission, provides that in the future, immediate payments will apply in the 27 EU countries, as well as in Norway, Iceland and Liechtenstein.
This progressive regulation aims to facilitate and accelerate financial transactions, both for individual consumers and businesses operating in the European Union. The fresh rules are intended to remove time barriers, allowing a fast and effective flow of funds between different countries, which in turn promotes the improvement of trade and strengthen economical cooperation within the Community.
When will immediate payments be available across the EU?
Once the bill has been approved, the fresh rules will be implemented gradually, starting with the euro area countries and then spreading to the remainder of the community. At the moment, the countries of the Community must establish appropriate agreements to let for immediate transfers.
It should be stressed that, under the draft law, instant payments will not have higher costs than standard transfers, even in the case of global transactions. The Legaartis portal points out that in Germany fast transfers are more costly than conventional ones. In 2021, the national Court of Justice issued a ruling that allows banks to charge additional fees for instant financial transactions. another payment service providers specified as PayPal besides have akin rights.
The introduction of equal costs between immediate and standard transfers is an crucial step towards the elimination of additional charges, which can contribute to expanding the availability and attractiveness of specified services for a wide scope of users and companies operating on the financial market.
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The European Union announces changes to transfers. This will affect everyone in Poland and the Union:
