| EU FRENCH PRESIDENCY - Little tangible commitments made with regards to financial services until the end of the year. Both the French Banking Federation and the European consumers association BEUC is hoping for more. |
Below are some views from BEUC on the importance of financial services for consumers including a list of proposals in this area from their 100 concrete proposals for consumers made to the French Presidency (see document attached in French only), as well as the views from the FBF on the five key areas of focus they have identified for the Presidency.
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Extract from the 8 priorities of BEUC for the French presidency (19/06/2008, in French only)
OBJECTIF SERVICES FINANCIERS
Du dynamisme pour le marché intérieur des services financiers de détail Il n’existe pas à ce jour de marché intérieur des services financiers de détail : il est aujourd’hui toujours quasi impossible d’ouvrir un compte courant ou un compte d’épargne simple dans un autre Etat membre si l’on n’en est pas résident. Il est impossible d’obtenir un crédit dans un autre Etat membre. Or, de grandes différences de tarifs dont pourraient bénéficier les consommateurs existent entre Etats membres. Par ailleurs, le secteur financier de détail ne fonctionne pas, loin s’en faut, dans un système de concurrence parfaite.
I. FAVORISER LA MOBILITE BANCAIRE, TANT AU NIVEAU NATIONAL QU’EUROPEEN
Les difficultés rencontrées par les consommateurs, lorsqu’ils souhaitent transférer leurs comptes vers un autre établissement sont de notoriété publique : coûts, complexité, défaut d'information et autres risques liés aux transferts des domiciliations foisonnent. La volonté de la Commission européenne de livrer la question de la mobilité bancaire à l’autorégulation est préoccupante si l’on se réfère à l’expérience relative au code de conduite européen en matière de crédit hypothécaire qui a clairement démontré les limites de la « soft law ». Ce futur code sera loin de couvrir tous les besoins des consommateurs.
ACTIONS A ENTREPRENDRE :
- Etendre le champ d’application du futur code pour ne pas le limiter au seul plan national et pour les seuls comptes courants et comptes d’épargne simples.
- Surveiller de près tant le contenu de ce code que son application effective.
- Imposer sans autre délai une initiative législative si rien ne change rapidement pour les consommateurs.
II. IMPOSER L’ACCES A UN SERVICE MINIMUM POUR TOUS LES CONSOMMATEURS
L’exclusion financière est un problème pour de nombreux consommateurs européens, principalement dans les nouveaux Etats membres. Ils n’ont ainsi accès à aucun service financier de base (compte courant, produit d’épargne, assurance) et cela s’accompagne souvent d’une exclusion sociale. Il existe aussi une dimension européenne transfrontière à cette problématique : un citoyen qui veut s’établir à l’étranger doit souvent faire face à un véritable casse tête. Pour pouvoir ouvrir un compte bancaire dans un Etat, il faut y disposer d’une résidence ; mais pour pouvoir disposer d’un logement, en tout cas en tant que locataire, il faut souvent pouvoir fournir une garantie bancaire.
ACTIONS A ENTREPRENDRE :
- Entamer des travaux à dimension européenne visant à faire reconnaître le droit pour le citoyen d’avoir accès à des services financiers de base.
III. FACILITER LES SERVICES DE PAIEMENT
D'un manque d'information à des banques qui essaient d'échapper à leurs obligations en cas de vol de cartes, en passant par des frais excessifs sur les virements transfrontières, nous avons tous été confrontés au moins une fois à un problème avec notre fournisseur de services de paiement. Par ailleurs, les modes de paiement comme certaines cartes de débit/crédit ou les prélèvements automatiques ne sont pas encore utilisables partout en Europe comme ils le sont au niveau national (pas d’interconnexion).
ACTIONS A ENTREPRENDRE :
- Veiller à la bonne transposition et mise en œuvre de la directive sur les services de paiement qui vise à rendre : les paiements nationaux et transfrontières raisonnablement bon marché, mais également sûrs et pratiques ; les paiements transfrontières aussi efficaces que les paiements nationaux.
- Veiller à ce que l’Espace unique de paiement en euros (SEPA) apporte aussi des avantages concrets aux consommateurs.
- Réorienter les discussions en cours au sein du Conseil européen des paiements sur les caractéristiques techniques et commerciales du prélèvement automatique pour répondre aux attentes des utilisateurs de ces moyens de paiement.
IV. CREDITS HYPOTHECAIRES
Contracter un prêt hypothécaire est, pour la plupart des consommateurs européens, la décision financière la plus importante de leur vie. La récente crise des « subprime » est venue rappeler la nécessité d’aborder cette question avec une extrême prudence. Force est aussi de constater qu’il n’existe pas de véritable possibilité pour le consommateur de faire appel au crédit hypothécaire de manière transfrontière.
ACTIONS A ENTREPRENDRE :
- Analyser la nécessité d'une intervention réglementaire sur les marchés européens des crédits hypothécaires de façon équilibrée et constructive.
- Evaluer les répercussions éventuelles d’un marché unique du crédit hypothécaire sur le bien-être des consommateurs européens.
- Prendre rapidement des mesures sur la question des intermédiaires afin de protéger au mieux les consommateurs et d’aplanir les divergences entre les législations régissant cette profession dans les différents États membres.
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Extracts from BEUC’s “A SINGLE MARKET FOR CONSUMERS - The Commission’s Review Package
for the Single Market (BEUC’s comments)”
20/05/08: Contact: Ursula Pachl – upa@beuc.eu
FINANCIAL SERVICES
In relation to retail financial services, we have said in our response to the 2006
consultation that market integration of retail financial services will not automatically
lead to improved consumers welfare. In fact, what really matters from the consumers’
perspective is the quality of choice, not the sheer quantity of products available on the
market. We therefore welcome that the Commission refers to “quality” financial
services.
Consumer needs and expectations in this field as set out in detail in BEUC’s response
to the recent Green Paper on retail financial services15 are not sufficiently reflected by
the Commission’s staff working paper initiatives in the area of retail financial
services.
Even if this paper covers a large range of consumer financial issues, the proposed
measures are not sufficient to meet consumers’ interests. The Commission intends to
undertake another series of studies to assess whether legislation is needed, in
particular with regard to tying and bundling products and financial intermediaries. Yet,
we consider that enough evidence has been provided to show the need for binding
legislation covering all financial intermediaries (access to the profession, transparency
of commissions and status of the intermediaries and best advice on products). Priority
should also have been given to binding measures to improve consumer mobility.
Regarding access and availability to credit data, we agree on the fact that this is an
important factor in promoting competitive retail financial service markets. However,
the consumers’ ability to access and correct these data and safeguards regarding their
use are crucial. The need to include a responsible lending regime is not reflected in the
Commission Paper.
Concerning product diversity, we do not share the Commission point of view on
national rules prohibiting the selling of certain products. Those rules are not obstacles
by nature but contribute to foster consumers’ confidence. Given that the Commission
plans to examine national rules only with industry, we express our greater concerns on
the way in which this question will be examined. This is no more than a supply side
biased vision of the markets.
In the field of payments, we do not share the Commission’s optimism concerning the
benefits of SEPA for consumers. We still fear that SEPA would lead to a negative
outcome for consumers: more expensive, lower-quality payment services. Better
involvement of consumer organizations to identify and take into account consumer
needs' and demands must be urgently reflected in the SEPA standards. SEPA could
also be an impediment rather than an improvement to consumer mobility. But we
welcome the proposed initiative to enhance competition in the cards market.
BEUC agrees with the Commission that there is a need to strengthen the consumer
knowledge in the financial area and so try to reduce to some extent the huge
knowledge gap between customers and companies in the financial sector. This is why
we will pay specific attention to the announced Communication on Financial education.
However BEUC would like to recall that, in order to empower consumers and foster
competition, financial education is not a panacea. Priority should be given to clear
appropriate, timely information (in the native language), professional and independent
quality advice, as well as simplification of (complicated) products. These points are not
reflected in the paper.
Access to financial services is key for consumers to be integrated in society and to live
a normal social and economic life. We welcome that the Commission recognizes the
need to ensure access to a basic bank account for every consumer. Such a basic
financial service should be considered in the context of the principle of universal
service. We urge the Commission to come forward with initiatives to address this
major consumer concern as soon as possible.
Regarding redress mechanisms BEUC welcomes the intention to improve the existing
FIN-NET network. But this is not sufficient to handle consumer cross border
complaints. It must be possible for consumers to file a complaint with the local
authorities in their country of residence without having to complain to the authorities
of the Member State from which the company at fault originates. Suppliers should be
required to subscribe to independent and effective redress schemes.
However, ADR will not address all the problems consumers are facing. In case of mass
damage, a group action needs to be set up at national level as well as European level
to allow victims to be really compensated.
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FRF press release (23/06/2008):
FRENCH PRESIDENCY OF THE EUROPEAN UNION: FIVE AREAS OF FOCUS TO IMPROVE BANKING AND FINANCIAL INTEGRATION
The French Banking Federation (FBF) would like to see France, during its Presidency of the Council of the European Union, improve banking and financial integration while encouraging growth and employment in Europe. To this end, the FBF has identified five key areas of focus with respect to current issues:
1. FINANCIAL TURMOIL: ENDING THE CRISIS AND BUILDING A STRONGER FINANCIAL SYSTEM
The FBF considers that the first priority is to get past the crisis. In addition to the normalisation of the bank refinancing market and the controlled use of realistic accounting valuation models in difficult market periods, it also recommends the adoption of structural measures aimed at getting the market back on healthy footing:
- subjecting all lending institutions to a banking-type prudential supervision;
- reviewing the role and duties of ratings agencies;
- stepping up European coordination of national supervisory authorities;
- improving transparency and adapting accounting valuation methods for relatively illiquid structured products.
Finally, it is necessary to discuss the procyclicity of regulations governing banks, as recommended by the Financial Stability Forum.
2. BANKING SUPERVISION: MOVING FROM A NATIONAL TO A EUROPEAN APPROACH
The current fragmentation of the banking supervision system at the national level is negatively impacting the effectiveness of the supervision of banking groups and the integration of the European market; the financial crisis particularly underscores the need for a supervisory system capable of covering pan-European groups. For this, the FBF recommends :
- supervision of groups by panels of supervisors working under the authority of the parent company supervisor;
- enhancing the role and powers of the CEBS with a view to encouraging cooperation and convergence of practices between national supervisors.
3. COMPLETING THE INTEGRATION OF THE FINANCIAL MARKETS
There is still progress to be made in the areas of asset management and post-market activities:
- The FBF supports the creation of a European asset management market through the revision of the UCITS directive, including in particular a European passport issued to investment firms. Such a passport would enable investment firms to develop their activities from a single country.
- The code of conduct governing “clearing and settlement-delivery” infrastructures must be closely monitored; certain commitments still fail to meet the expectations of issuers and operators alike (e.g. comparability of services).
- The FBF favours the creation of a single platform for unwinding Euro-denominated securities transactions (Target 2 Securities) for the purpose of improving the efficiency of European settlement-delivery systems.
4. TOWARDS GREATER INTEGRATION IN RETAIL BANKING
The FBF regrets that no legal proposals are on the table for 2008. It has long argued the practical value of a single market. The FBF also favours the development of a European mortgage market through a full targeted harmonisation directive , which is the only initiative capable of truly harmonising the market. The FBF also supports European undertakings relating to customer mobility.
5. PAYMENTS: CLARIFYING THE LEGAL FRAMEWORK TO FACILITATE EUROPEAN PROJECTS
The harmonisation of payment instruments is of major import for Europe. As such, it is crucial to successfully transpose the Payment Services Directive in a harmonised manner and to clarify the economic rules applying to interbank services. The legal vagueness currently surrounding interbank fees seriously compromises the launch of direct debit and the project to create a European payment card under SEPA (Single Euro Payments Area).
FRENCH BANKS HAVE ALWAYS ARGUED IN FAVOUR OF EUROPEAN INTEGRATION, WHICH ALL SURVEYS HAVE SHOWN TO HAVE A POSITIVE IMPACT:
- for the banking industry, thanks in large part to economies of scale and range, a better distribution of risks, greater innovation and improved competitiveness in today’s globalised competitive environment,
- for the 450 million European consumers who will enjoy the same level of protection throughout Europe, with access to a broader range of products and services, and will be better able to compare different offers.
(See attachment: "French Presidency priorities - Six months to advance the integration of banking and financial services markets") |
| ID: |
41443 |
| Author(s): |
SCR |
| Publication date: |
28/06/08 |
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Created: 02/07/08. Last changed: 02/07/08.
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