Regulator considers unilateral setting of account and deposit management fees inadmissible
The Bank of Russia issued an information letter regarding the introduction by some credit institutions of fees for managing foreign currency accounts without clients’ consent. The document is also aimed at protecting bank deposits against similar actions.
The regulator believes that institutions unilaterally increasing or setting transaction fees in the existing bank account and deposit agreements thus violate consumer rights. Furthermore, the Bank of Russia highlights that the publication of such changes by a bank on its website, when the absence of clients’ objections is considered as their consent, may not be recognised as an offer.
The regulator deems it necessary to prevent the inclusion of provisions allowing credit institutions to unilaterally increase or set fees for transactions in bank account and deposit agreements concluded with their clients. The Bank of Russia also believes that it is inadmissible to charge fees from clients if a credit institution increases or sets them unilaterally, without a client’s express, clear and informed consent to new fees.
The regulator informed credit institutions of the necessity to eliminate any possibility for infringing consumer rights and prevent such malpractice.