A4-0089/95

Proposal for a European Parliament and Council Directive on cross-border transfers (COM(94)0436 - C4-0229/94 - 94/0242(COD))

The proposal was approved with the following amendments:

(Amendment 1)

Title

>Original text>

Proposal for a European Parliament and Council Directive on cross-border transfers

>Text following EP vote>

Proposal for a European Parliament and Council Directive on EU credit transfers

>Text following EP vote>

("cross-border transfer" to read "EU credit transfer" throughout the Directive)

(Amendment 2)

Recital 3

>Original text>

Whereas this Directive intends to follow up the progress towards the liberalization of capital movements reached during stage 1 of economic and monetary union; whereas it takes account of the purpose of facilitating the use of the ECU set out in the Treaty; whereas it is conceived as a step towards the progressive implementation of economic and monetary union; whereas its provisions should apply to credit transfers in any currency, including the ECU;

>Text following EP vote>

Whereas this Directive intends to follow up the progress towards liberalization of capital movements reached during stages 1 and 2 of Economic and Monetary Union; whereas it takes account of the purpose of facilitating the use of the ECU; whereas it is conceived as a step towards the progressive implementation of Economic and Monetary Union; whereas its provisions should apply to credit transfers in the currencies of the Member States and the ECU;

(Amendment 3)

Recital 10

>Original text>

Whereas this Directive should apply to credit transfers for any amount; whereas institutions should be under an obligation to refund in the case of a non- completed transfer; whereas the obligation to refund imposes a contingent liability on institutions which might, if the possibility were not given to exclude high-value transfers, have a prudential effect on the solvency requirement; whereas the possibility of derogation (by Member States and, if so exercised, by institutions) from this obligation should be provided only in the case of high-value payments of more than ECU 10 000; whereas this threshold does not apply to any other Article of this Directive;

>Text following EP vote>

Whereas this Directive should apply to credit transfers of no more than the equivalent of ECU 50 000; whereas institutions should be under an obligation to refund in the case of a non-completed transfer;

(Amendment 4)

Recital 10a (new)

>Text following EP vote>

Whereas an independent complaints and redress procedure relating to the areas covered by the present Directive should be available to afford the consumer better protection; whereas such a procedure should be established at Member State level, with the minimum cost, using existing procedures where available;

(Amendment 5)

Article 1(2)

>Original text>

2. This Directive shall apply to credit transfers in any currency, including the ECU, and for any amount save where the derogation in Article 7(3) has been exercised.

>Text following EP vote>

2. This Directive shall apply to credit transfers in the currencies of the Member States and the ECU up to the equivalent of ECU 50 000.

(Amendment 6)

Article 2(l)

>Original text>

(l) 'force majeure' shall not include the insolvency of an intermediary institution but shall otherwise have the meaning ascribed to it in indent (ii) of the second subparagraph of Article 4(6) of Council Directive 90/314/EEC;

>Text following EP vote>

(l) 'force majeure' shall mean unusual and unforeseeable circumstances beyond the control of the party by whom it is pleaded, the consequences of which could not have been avoided even if all due care had been exercised (indent (ii) of the second subparagraph of Article 4(6) of Council Directive 90/314/EEC);

(Amendment 7)

Article 2(m)

>Original text>

(m) 'interest' shall mean the inter-bank offered rate, increased by two percentage points, in the relevant market for deposits in the currency of any given payment, calculated for the period of the delay;

>Text following EP vote>

(m) 'interest' shall mean the rate which the institution would apply to its customer's account, for the relevant period, if that customer's account were then overdrawn;

(Amendment 8)

Article 2(p)

>Original text>

(p) 'completion' of a credit transfer shall mean acceptance by the beneficiary's institution;

>Text following EP vote>

(p) 'completion' of a credit transfer shall mean receipt of the payment by the beneficiary's institution;

(Amendment 9)

Article 2(q)

>Original text>

(q) 'intermediary institution' shall mean an institution which is neither that of the originator nor that of the beneficiary;

>Text following EP vote>

(q) 'intermediary institution' shall mean an institution which is neither that of the originator nor that of the beneficiary, and which participates in the execution of an EU credit transfer;

(Amendment 10)

Article 3

>Original text>

The institution shall supply its customer with clear written information about the services it provides to effect or receive credit transfers. This information shall include:

>Text following EP vote>

The institution shall supply its customers with clear written information including, where appropriate, by electronic means, about the services it provides to effect or receive credit transfers. This information shall at least include:

>Original text>

- an indication of the time needed for the funds to be credited to the account of the beneficiary's institution or to the beneficiary, as appropriate,

>Text following EP vote>

- the time needed for the funds to be credited to the account of the beneficiary's institution or to the beneficiary, as appropriate,

>Original text>

- the basis of the calculation of any commissions and charges payable by the customer to the institution,

>Text following EP vote>

- all transfer commissions and charges payable by the customer to the institution, including any taxes applied and the basis upon which the exchange rates are calculated,

>Original text>

- the value date, if any, applicable by the institution,

>Text following EP vote>

- the value date, if any, applicable by the institution,

>Original text>

- a reference to the redress procedures available to the customer and the method of gaining access to them.

>Text following EP vote>

- and a reference to the redress and complaints procedures available to the customer and the method of gaining access to them.

>Text following EP vote>

This information should be supplied directly to the customer and in standardized format to facilitate the comparison of costs.

(Amendment 11)

Article 4, introduction and indents 1 and 2

>Original text>

The institution shall supply its customers with clear written information subsequent to their making or receiving a credit transfer. This information shall at least include:

>Text following EP vote>

The institution shall supply its customers with clear written information including, where appropriate, by electronic means, subsequent to their making or receiving a credit transfer. This information shall at least include:

>Original text>

- a reference enabling its customer to identify the payment,

>Text following EP vote>

- a reference enabling its customer to identify the payment,

>Original text>

- the amount of any charges payable by its customer. Where the originator has authorized a deduction from the amount of a credit transfer, this fact and the original amount of the credit transfer shall be stated by the beneficiary's bank to the beneficiary,

>Text following EP vote>

- the costs payable by its customer. Where the originator has authorized a deduction from the amount of a credit transfer, this fact and the original amount of the credit transfer shall be stated by the beneficiary's bank to the beneficiary,

(Amendment 12)

Article 5(1), introduction

>Original text>

1. Each institution having accepted a payment order shall execute the related credit transfer within the time scale agreed with the customer (or institution) making the payment order. In the absence of a specific agreement as to the time scale, the institution shall act soon enough to enable its published clear time scale to be achieved. Where there is neither a specific agreement nor an applicable published time scale, the following obligations shall apply:

>Text following EP vote>

1. Each institution having accepted a payment order shall execute the related credit transfer as fast as possible or within the time scale agreed with the customer (or institution) making the payment order. In the absence of a specific agreement, the following obligations shall apply:

(Amendment 13)

Article 5(2)

>Original text>

2. The originator's institution shall compensate the originator by the payment of interest on the amount of the credit transfer where it is completed late, but shall not be liable for consequential losses under this Directive. No compensation shall be payable where the originator's bank can establish that the delay was attributable to the originator.

>Text following EP vote>

2. The originator's institution shall compensate the originator by the payment of interest on the amount of the credit transfer where it is completed late, but shall not be liable for consequential losses under this Directive. Where the originator's institution is not responsible for the delay, it may claim from the institution that caused the delay the amount it was required to pay out plus corresponding interest. No compensation shall be payable where the originator's bank can establish that the delay was attributable to the originator.

(Amendment 14)

Article 5(3)

>Original text>

3. In addition to the obligation of execution in paragraph 1, the beneficiary's institution shall compensate the beneficiary by the payment of interest on the amount of the credit transfer where it is late in being placed at the beneficiary's disposal.

>Text following EP vote>

3. In addition to the obligation of execution in paragraph 1, the beneficiary's institution shall compensate the beneficiary by the payment of interest on the amount of the credit transfer where it is late in being placed at the beneficiary's disposal and the delay is attributable to the beneficiary's institution.

(Amendment 15)

Article 6(1)

>Original text>

1. The originator's institution, any intermediary institution and the beneficiary's institution, once they have accepted the payment order, shall each be obliged to execute the related credit transfer for the full amount thereof unless authorized to make a deduction therefrom. Without prejudice to the duty not to deduct, the beneficiary's institution may, where appropriate, levy an additional charge on the beneficiary relating to the administration of his account. However, any such additional administrative charge shall not exceed the charge that would be made for a domestic credit transfer.

>Text following EP vote>

1. The originator's institution, any intermediary institution and the beneficiary's institution, once they have accepted the payment order, shall each be obliged to execute the related credit transfer for the full amount thereof unless authorized by the originator to make a deduction therefrom. Without prejudice to the duty not to deduct, the beneficiary's institution may, where appropriate, levy an additional charge on the beneficiary relating to the administration of his account. However, any such additional administrative charge shall not exceed the charge that would be made for a domestic credit transfer.

(Amendment 16)

Article 6(2)

>Original text>

2. Where a breach of the duty to execute in accordance with the payment order as described in paragraph 1 has been caused by any institution other than the beneficiary's institution, and without prejudice to any other claim which might be made, the institution of the originator shall be liable to credit to the originator any sum wrongly deducted by any institution, at its own cost. Alternatively, if required to do so by the originator it shall transfer such amount to the credit of the beneficiary, free of all deductions, at its own cost. Any intermediary institution making a deduction in breach of the duty in paragraph 1 shall be liable to credit the sum so deducted to the institution of the originator. Alternatively, if required by the institution of the orginator, it shall transfer such amount, free of all deductions, to the credit of the beneficiary, at its own cost.

>Text following EP vote>

2. Where a breach of the duty to execute in accordance with the payment order as described in paragraph 1 has been caused by any institution other than the beneficiary's institution, and without prejudice to any other claim which might be made, the institution of the originator shall be liable to credit to the beneficiary any sum wrongly deducted by any institution, at its own cost. Alternatively, if requested to do so by the originator, it shall transfer such amount to his or her credit, free of all deductions and at its own cost. Any intermediary institution making a deduction in breach of the duty in paragraph 1 shall be liable to transfer the sum so deducted to the institution of the beneficiary. Alternatively, if requested by the institution of the originator, it shall transfer such amount, free of all deductions, to the originator's institution at its own cost.

(Amendment 18)

Article 7(1)

>Original text>

1. If, after a payment order has been accepted by the originator's institution, the related credit transfer is not for any reason completed, and without prejudice to any other claim which may be made, the originator is entitled to have his account credited on demand with the full amount of the credit transfer plus interest and the amount of the charges for the non-completed credit transfer, such demand to be made not earlier than 20 business days after the date on which the credit transfer should have been completed. Each intermediary institution which has accepted the payment order likewise owes an obligation to refund at its own cost the amount of the credit transfer to the institution which instructed it.

>Text following EP vote>

1. If, after a payment order has been accepted by the originator's institution, the related credit transfer is not completed, and without prejudice to any other claim which may be made, the originator is entitled to have his account credited at his request with the full amount of the EU credit transfer up to ECU 50 000 plus interest and the amount of the charges for the non-completed credit transfer, 15 business days after such a request is made. This request may not be introduced before the expiry of the timescale referred to in Article 5(1). Each intermediary institution which has accepted the payment order likewise owes an obligation to refund at its own cost the amount of the credit transfer to the institution which instructed it.

(Amendment 19)

Article 7(2)

>Original text>

2. If the non-completion of the credit transfer was caused by defective instructions given by the originator to his institution, the originator's institution and the other institutions involved shall use their best endeavours to make the refund referred to in paragraph 1.

>Text following EP vote>

2. If the non-completion of the credit transfer was caused by defective instructions given by the originator to his institution, the originator's institution and the other institutions involved shall use their best endeavours to make the refund referred to in paragraph 1. The institutions are not obliged in this case to refund the charges and interest accruing.

(Amendment 28)

Article 7(3)

>Original text>

3. Member States may allow institutions to derogate by contract from the obligation to refund, as described in paragraph 1, in the following cases:

- where the non-completion of the credit transfer is due to force majeure; or

- for payments above ECU 10 000.

>Text following EP vote>

3. The obligation to refund set out in paragraph 1 is without prejudice to the possibility for Member States and/or institutions to provide for a refund of a non-completed EU credit transfer, where such a transfer exceeds ECU 50 000.

(Amendment 21)

Article 7(3a) (new)

>Text following EP vote>

3a. Institutions shall not be bound by the provisions of this Directive where they can invoke reasons of force majeure with regard to these provisions.

(Amendment 22)

Article 7a (new)

>Text following EP vote>

Article 7a

1. Any institution involved in an EU payment shall take a decision without delay on complaints by its customers.

>Text following EP vote>

2. If a complaint has not been remedied or a decision has not been taken on it within four weeks, complainants may approach one of the independent complaints offices to be set up for this purpose by the Member States.

>Text following EP vote>

3. A list of addresses of such offices shall be available at all institutions carrying out EU payments.

Legislative resolution embodying Parliament's opinion on the proposal for a European Parliament and Council Directive on cross-border transfers (COM(94)0436 - C4-0229/94 - 94/0242(COD))

(Codecision procedure: first reading)

The European Parliament,

- having regard to the Commission proposal to Parliament and the Council, COM(94)0436 - 94/0242(COD) ((OJ C 360, 17.12.1994, p. 13.)),

- having regard to Articles 189b(2) and 100a of the EC Treaty, pursuant to which the Commission submitted the proposal to Parliament (C4-0229/94),

- having regard to Rule 58 of its Rules of Procedure,

- having regard to the report of the Committee on Economic and Industrial Policy and the opinions of the Committee on the Environment, Public Health and Consumer Protection and the Committee on Legal Affairs and Citizens' Rights (A4-0089/95),

1. Approves the Commission proposal, subject to Parliament's amendments;

2. Calls on the Commission to alter its proposal accordingly, pursuant to Article 189a(2) of the EC Treaty;

3. Calls on the Council to incorporate Parliament's amendments in the common position that it adopts in accordance with Article 189b(2) of the EC Treaty;

4. Should the Council intend to depart from the text approved by Parliament, calls on the Council to notify Parliament and requests that the conciliation procedure be initiated;;

5. Points out that the Commission is required to submit to Parliament any modification it may intend to make to its proposal as amended by Parliament;

6. Instructs its President to forward this opinion to the Council and Commission.