We'll lose £215 billion to hidden fees unless we act
We’re set to lose £215 billion to hidden fees this year alone. That's because today, banks and other providers are able to tell you your transfer is free, has...
Payment services regulations: How consumers and businesses could benefit
It's a matter of weeks until the Payment Services Regulations could finally end the currency exchange rip off for the 21 million adults who exchanged money in the last year, as well as the 3 million SMEs that sent and received money overseas.
What’s the problem?
Right now, banks and brokers are hiding the true cost of foreign currency. They quote an attractive price to consumers- all the while hiding the full cost in a poor exchange rate, charging on average an extra 29% on a typical GBP to EUR transaction.
The second Payment Services Directive (PSD2) states that the use of “non transparent pricing methods should not be allowed”, as it prevents consumers from establishing the real cost of a service. Indeed, 71% of ‘savvy’ UK consumers who regularly transfer money abroad miscalculated the amount they are being charged when shown a typical bank’s pricing structure.
In the 2015 General Election, the Conservative Party pledged to bring an end to non transparent pricing structures that disproportionately affect SMEs and consumers. However, the draft Payment Services Regulations, which will transpose the PSD2 into UK law, fail to uphold the transparency mandated in the original legislation.
We only have a few weeks to use the PSRs to make foreign currency transactions as transparent as same currency payments, so consumers and businesses alike know how much it costs to use their own money.
What can you do?
-
Tweet HM Treasury asking them to take action
-
Respond directly to the consultation: You can respond to the Government by sending an email to PSD2consultation@HMTreasury.gsi.gov.uk
-
Write to your MP. You can find out who your local MP is here
If you are a Councillor, MP or work in politics and would like to know how you can support the campaign please get in touch with us at shf@wise.com.
*Please see terms of use and product availability for your region or visit Wise fees and pricing for the most up to date pricing and fee information.
This publication is provided for general information purposes and does not constitute legal, tax or other professional advice from Wise Payments Limited or its subsidiaries and its affiliates, and it is not intended as a substitute for obtaining advice from a financial advisor or any other professional.
We make no representations, warranties or guarantees, whether expressed or implied, that the content in the publication is accurate, complete or up to date.
Money without borders
Find out more
Europeans have a €30 billion problem
From holidaymakers, students funding their student loans, people sending money to support loved ones back home, to small businesses working with overseas...
An open letter to stop hidden fees. Signed by industry.
Chancellor of the Exchequer HM Treasury 1 Horse Guards Road London SW1A 2HQ Dear Chancellor, We are writing to you to take this opportunity to stop hidden...
Calling for action: The state of transparency around the world
£187 billion! That’s how much people and businesses lost to hidden fees in a single year.
Happy International Day of Family Remittances
Share your story with us. Why is sending money abroad important to you? How are hidden fees impacting you and your family? The International Day of Family...
Calling for more transparency in the UK: Take action now!
Help change the law! Last year, when sending money abroad, British consumers and businesses lost £5.6 billion in fees. Is it bonkers? Yes! Is it surprising?...
