The Australian Bankers' Association's 2015 fees report shows that the growth in total fees for banking services remains low, especially when compared to the growth in banking activity. Over the past six years fees from transaction accounts have halved while transaction volumes have increased by 50 per cent. Households are also paying the lowest amount of fees on their home loans in six years, despite the strong activity in the housing market.
This report was prepared by the Australian Bankers’ Association (ABA) and analyses the data on fees for banks’ services. Bank fees paid by households have fallen by $1.12 billion or 22 per cent over the past three years, taking total fees paid by households to the lowest level for seven years. These falls have significantly reduced the cost of banking at a time when many other household expenses are going up. This year, fees paid by households fell 0.3%, saving households $13 million.
This report was prepared by the Australian Bankers’ Association (ABA) which analyses the data on fees for banks’ services. The report shows households are paying less for banking because banks have cut fees. The data shows banks cut $835 million of fee revenue from households in 2010, reducing the cost of banking.
The Australian Bankers’ Association (ABA) provided this submission to Treasury regarding the ban on exit fees. The ABA has always argued that these fees represent legitimate costs. The impact of not being to recover those costs will fall proportionately more heavily on smaller lenders than larger ones.