Payment service providers to be required to inform consumers about applied fees

Payment service providers (PSPs) will be required to inform consumers about the fees they apply. The parliamentary committee for economy, budget and finance approved today the report on the draft law regarding the comparability of fees related to payment accounts, the switching of payment accounts, and access to payment accounts with basic services. The document will be submitted for examination, in the first reading, at the Parliament’s plenary session.

The legislative initiative, developed by the National Commission for Financial Markets takes into account the recommendations of the European Commission regarding the continued harmonisation of the regulatory framework with the European acquis in the consumer protection.

The new law aims to increase transparency, improve consumer information, and ensure fair access to essential financial services.

According to the document, before concluding a contract for a payment account, the provider will be required to offer the consumer a document containing clear information on the applicable fees and charges. The standardised form will comply with the presentation requirements established by the European Commission. In addition, clients will receive free annual information on the fees applied by PSPs, so that they can more easily assess the costs associated with the services they use. Until now, providers published on their websites the general terms, fees and charges related to services intended for retail clients.

To ensure transparency and access to affordable financial services, the NCFM will create a web page containing information about the services offered by different PSP, including the fees charged. Thus, consumers will be able to compare offers and choose the most advantageous options.

The draft law also contains provisions intended to facilitate the switching of payment accounts. To guarantee the rights of all consumers, banks will be required to offer payment accounts with basic services. The document provides for sanctions for providers that commit violations, and the NCFM will be able to apply written warnings, fines or enforcement measures, depending on the infringements identified.

After adoption, the new legislative provisions will enter into force 12 months after their publication in the Official Journal, except for the chapter on account switching, which will enter into force 24 months after publication. Some articles will enter into force on the date of the Republic of Moldova’s accession to the European Union.