Is Monzo going to have this charge??
Seen on The Sun website
Banks to vs Banks could, great clickbait.
Mostly likely be disguised in a small increase to monthly account fee if they do. It would be suicide for any to individually charge or face customers jumping ship.
Monzo Plus is already useless for the monthly, so I doubt they would have the balls to increase.
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I see The S*n have decided to join the Daily Express and The Register in DROPPING in all caps words into THEIR headlines
In the bin
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And we’re paying attention to anything written in a Sun headline because…?
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The S*n say a lot of things. Most of it made up.
For additional context:
On 26 July, PayUK received a change request from UK Finance on behalf of seven Faster Payments Service (FPS) Direct Participants: Barclays; HSBC; Lloyds Banking Group; Metro Bank; Nationwide; RBS; and Santander (this is referred to as “the Change Request”). The Change Request, which can be found at this link, proposes to introduce a new rule into the FPS Payment System Rules (“FPS Rules”) and would also require consequent amendments to the existing FPS participation and related agreements. UK Finance describes the requirement for the new rule as follows:
“We are requesting a rule change to enable a volume-based fee per FPS transaction, subject
to certain exemptions, on defined FPS payment types. The CRM Fee will fund, on a
sustainable basis, the reimbursement of all customers who fall within the category of ‘no
blame’ as per the assessments outlined within the Contingent Reimbursement Model Code”.
[…]
Under our rules, changes to the FPS rules can be proposed by any FPS Participant and we are now
undertaking work to support the Pay.UK Board in determining whether or not to adopt the proposal set out in the Change Request. Our rules and regulatory requirements require that we consider the views of all relevant service users.
[…]
The FPS Direct Participants would be required to pay this fee for all qualifying
transactions. If the FPS Direct Participant is a sponsor PSP, it would need to make a
commercial decision about whether and - if so – how, to pass the cost of the CRM fee on to
its customers (i.e. its indirect participants). Similarly, UK Finance proposes that the
decision on whether or not exemptions would be passed on to indirect participants would
be a commercial decision for the sponsor PSPs.
My understanding is that if this change were to come into force then Monzo (as a participant in FPS) would be required to pay the charge, however it’s possible that Monzo would not pass the charge on to customers.
https://www.wearepay.uk/wp-content/uploads/2019/08/UK-Finance-Change-Request.pdf
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Banks already pay a per transaction fee on the FPS network.
One bank it going to take out huge ads saying that they won’t add on this new charge and they’ll all follow suit
If I was being super cynical, this seems a great way for at least six of those banks, flush with cash, to stick the knife in a bit
Surely people could just multiple FPs under the trigger point anyway!
Pain in the a** but still bypassable.
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