Berlin For many consumers it is a veritable jungle of tariffs: the costs related to the current account. Where are the fees for the overdraft facility, for transfers, cash withdrawals, account statements and foreign currencies at your own bank – but above all in comparison to other institutions? Where can I get some services cheaper, when does a change make sense?
The persistently low interest rates have prompted many banks to turn the fee screw. The new traffic light coalition of the SPD, Greens and FDP now wants to ensure that there is more transparency – and no longer rely solely on private comparison portals: “We will set up a comparison website for account fees at the Bafin financial supervisory authority,” says the coalition agreement. When the comparison website will be available cannot yet be foreseen. The following are the most important questions and answers:
Why does the government see a need for action right now?
In doing so, she draws conclusions from Check24’s failed attempt to set up a fee comparison. The portal fulfilled all the requirements to be able to show the comparison and underwent a lengthy certification by the Tüv Saarland, which the federal government stipulated in the last legislative period. But after a lawsuit by the consumer advocates, Check24 stopped operating the certified comparison website. The Munich Regional Court took the side of the consumer advocates and came to the conclusion that the comparison portal did not record enough banks and account models.
How is the industry reacting to the traffic light plans?
While consumer advocates cheer, the head of the comparison platform Verivox, Daniel Puschmann, has, as expected, no understanding for the advance. “I don’t understand why the state should take care of this task,” he told the Handelsblatt. “We don’t have to break up a monopoly here.” There are functioning private-sector offers. If the Bafin should now better fulfill this task, something is wrong with the framework conditions. The judgment from Munich is a step backwards for digital consumer protection.
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What happens before the Bafin comparison website starts?
As an interim solution, Stiftung Warentest has agreed to offer its existing checking account comparison to consumers free of charge – until Bafin takes over the direction. From the point of view of Verivox boss Puschmann, this is a bad solution because Stiftung Warentest’s market coverage is less than that of Check24.
What should consumers generally pay attention to when using comparison portals?
The President of the Federal Cartel Office sees comparison portals as an important tool for consumers. But caution is advised, as the rankings presented are not always based on objective criteria.
Private comparison platforms live on commissions that they receive from the providers. “That’s the way it is, but we don’t rank according to the level of commission,” admits the Verivox boss. “We have highlighted places for which companies pay and which are clearly marked as advertisements.” But these payments have no influence on the ranking, i.e. the listing of the cheapest providers in each case. The commissions would also help ensure that the service is free for consumers, emphasizes Puschmann.
When consumers compare financial services, they shouldn’t limit themselves to one portal. In addition to Stiftung Warentest, Check24 or Verivox, portals such as Smava, biallo.de or FMH Finanzberatung also offer orientation.
Apart from the commissions, private comparison portals are also vulnerable in another point: consumer advocates recently complained that only a limited market selection was available for an insurance comparison, without the consumer being explicitly informed. According to critics, a comparison cannot be transparent if it is not expressly stated what percentage of the market is covered by the respective providers.
How are things going in other states?
In a directive, the European Union stipulates that its member states must ensure that consumers have free access to at least one website that enables the terms and conditions of financial services to be compared. The EU gave the member states time until autumn 2018. Three years later this website still does not exist in Germany. This makes the Federal Republic of Germany one of the worst performers in the EU.
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