Banks May Charge Businesses to Bank Cash

Banks May Charge Businesses to Bank Cash.

Amid concerns over lower interests rates when the next Bank of England Monetary Policy Committee meetings takes place on 4^th August, Royal Bank of Scotland and its subsidiary, Nat West, have suggested they may charge businesses to accept deposits.

They give the reason as low interest rates.

Comment

Most banks already charge businesses for every transaction they make involving counter staff. XXp to bank a cheque, YYp to bank cash.  This is old news.  The real news would be if they started to charge consumers for banking, which we believe they should do.

We do not believe that banks in general comply the financial regulators rules on “Treating Customers Fairly” when a single director limited company business account holder could be charged to bank a cheque yet the consumer next in the queue can bank their cheque usually for free.

Expect more pressure to come as banks come to terms with pressure on costs at UK heads towards a slowdown and interest rates fall.