Every year, at the end of January, you should receive from your bank a commission statement. It is a document that you should look at carefully, as it contains important information that lets you know, for example how much you paid your bank in commissions. Take advantage of this information to consider changing banks, in order to save on this type of expense. current account who has receives a statement of commissions. This is because the commission statement is a document that contains all the information relating to fees charged and interest paid or received in your current account in the previous calendar year. That is, it contains information on the commissions charged for products linked to your bank account. But it also contains the interest you eventually paid if your account was overdrawn for a few days or if you took out the overdraft facility. And if your current account is remunerated, the interest received will also be mentioned.
Statement of commissions has a standard format
If you have current accounts at several banks, have you noticed that the monthly statements have different formatsvarying from bank to bank, which sometimes makes it difficult to read and find information, namely about your credits. this does not happen in the statement of commissions. This has a standardized format (i.e. it is the same whichever bank sends it) and with an identical symbol, both defined by the European Commission. of the European Commission of 28 September 2017 establishing Implementing technical rules for a standard presentation format the statement of commissions and their common symbol in accordance with Directive 2014/92/EU of the European Parliament and of the Council.
First page
On the first page is the title of “Extract of Commissions” and contains not only the identification of the first account holder and the respective address, but also some information about the account:Type of accountAccount identification (IBAN)Currency of the accountPeriod to which the commission statement relates Date of issue of the commission statementIncludes a brief explanation of the content of the document, in a summary table with three liness as the total of, namely:Commissions charged;Interest charged;Interest paid.
next pages
The following pages contain detailed information on commissions and interest divided by frames.
What detailed information does the commission statement have?
Table of commissions charged on accounts
The board has two large columns: one referring to the service and another referring to commissions.THE services column is divided into two: the first with the name of the service (for example SEPA+ Transfers)the second with the number of times you have used the service (for example how many transfers you have made)On the other hand, the commissions column it is divided into three: the first with the unit price for each service the second with the number of times the bank has charged the commission the third with the total charged in the commission associated with each service. The last line of the table has the total commissions charged, which must be equal to the amount shown in the summary table on the first page. Also read: Do you know which bank fees you can avoid?
Table of interest charged on accounts
This table contains:Product’s name associated with the account that generated debt interest: contracted overdraft facilities (such as a salary account) or credit overruns (if your account has a negative balance);interest rateo applied to each product;total interest of each product. The last line of the table has the total interest charged, which must be equal to the value shown in the summary table of the first page.
Table of interest earned on accounts
This table contains: Account name; Interest rate; Total interest paid. The last line of the table has the total interest paid, which must be equal to the value shown in the summary table from the first page. Also read: Clean up your direct debits
Why aren’t the commissions and interest the same as what’s on my monthly statements?
When you make a transfer and the bank charges you the respective commission, you can see on your statement that there are two lines: the commission and the tax associated with the commission (stamp duty or VAT). And paid, of course, the sum of these two lines. By the way, if you check your bank’s price list, both will be mentioned. However, in the monthly statement the commission amounts include tax. So, if you want to check with your monthly statements you have to add the two values.As for interest, the situation is the same. To the interest paid is added the amount of stamp duty indicated. The amount has already deducted the associated tax (IRS) from the interest it received.
Total commissions is not equal to the product of the unit price and the number of times the commission was charged, why?
In fact, it may not be, and it may be less than the product of the unit price and the number of times the commission has been charged. This is because Benefiting from a bank discount, there may be commissions charged with amounts lower than the unit price.If the total amount is greater than the product of the unit price and the number of times the commission has been charged, talk to your bank. The extract may be wrong.
Who receives the commission statement?
The commission statement is sent only to the first account holder, being free.However, if you were not the first account holder and want this document, ask your account manager. Bear in mind, however, that you may have to pay a commission for making it available. Consult the price from your bank to find out how much they can charge you.
How do I receive the commission statement?
You will receive the statement of commissions through the means of communication that you agreed with the bank: by post or by email. However, if it is sent to you by email, it must contain the expression “commission extract”.However, it will also be available on homebanking or on your bank’s application, which you can download when you enter your personal page. Note, you must receive information from your bank when the statement is available on digital channels. And, according to Circular Letter no. CC/2019/00000083 of the Bank of Portugal, this must be available for at least one year consultation, but there are financial institutions that show it for longer.
Statement of commissions is issued annually
The commission statement is issued every year until the end of Januarywith respect to fees and interest for the previous calendar year. what counts is the date on which the service is actually provided o not the date it is billed. In other words, commissions from the previous year that were only debited in the current year may be considered. Also read: Changing banks: Who does what to ensure monthly payments
A professional writer by day, a tech-nerd by night, with a love for all things money.