EU to clamp down on excessive bank charges

The EU Commission is to clamp down on banks who apply excessive charges for everyday transactions.

Under new proposals, banks will be obliged to provide a breakdown of all fees charged.

Member States will also be obliged to provide one independent website that provides details of fees charged by competing banks so that customers can make comparisons.

The new fees regime should be law within 24 months.

EU spokesperson Chantal Hughes says the proposals will provide greater transparency and create extra competition in the banking sector.

"What we want to do is ensure full transparency, so that on a piece of paper you'll know exactly for which operation you can expect to be charged, [and] how much, very simply and very clearly," she said.

"Which should allow you as a consumer to then compare with, for example, offers from other banks, and decide whether you want to stay with your bank or change banks."