The EU has a €30 billion hidden fees problem

The EU should act now to end hidden fees in international payments.

Hidden fees in international payments are not new. They’ve been banned by law since 2020 for cross-border payments within the EU. Yet they remain a problem that cost people and businesses in the European Union a whopping €30 billion in 2023 alone. For European consumers, that’s money that could have been used for daily spending, savings or investment, especially during a time of high inflation.

In 2023, the European Commission revealed the Payment Services Regulation (PSR) to put an end to this issue. It is currently going through the negotiation process. The European Parliament has just finalised its position (and it’s great!): it states that exchange rate mark-ups should be displayed upfront, in a transparent, distinguishable and easily understandable way, before final execution of the payment. The Council of the EU is next in line to give its feedback in the coming months.

True price transparency is the only way consumers and businesses are able to actually compare the market and shop around. Through the Payment Services Regulation, all payment service providers should be required to disclose their exchange rate mark-ups against a live, neutral benchmark rate — ideally, the mid-market exchange rate. The PSR could put a stop to hidden fees, enabling consumers and businesses to finally know exactly how much they pay.

Sign our petition, and we will deliver it to the EU lawmakers.