Is UK still part of SEPA?

zedsdad

So, in UK i have a HSBC account, in Spain i have a BBVA account. HSBC website says they're still in the SEPA scheme for transferring under €50,000 free within Europe. But, although I only transfer €900 from HSBC to BBVA, the Spanish Bank charges €21. Does anybody know why?
Even the staff at the Spanish bank can't tell me why they make this charge, other than to say the UK isn't part of Europe. But it is still in SEPA, isn't it?

Thrugelmir

With the UK outside the EU. No longer an obligation to provide the service for free. 

eDicky

Spanish banks impose charges at every opportunity, so with the obligation to receive funds by SEPA without fees now absent since Brexit, they have started to charge for incoming payments from UK.

colsten

EU membership is not a pre-req to being a SEPA country. There are several non-SEPA countries, the UK being one of them. No idea why the Spaniards charged you - may be follow this up with HSBC. https://www.europeanpaymentscouncil.eu/sites/default/files/kb/file/2021-03/EPC409-09%20EPC%20List%20of%20SEPA%20Scheme%20Countries%20v4.0.pdf

However, I would suggest transferring money with HSBC might not be the most advantageous method. Starling Bank or Wise (formerly Transferwise) will almost certainly give you a better deal. 

colsten

eDicky said:

Spanish banks impose charges at every opportunity, so with the obligation to receive funds by SEPA without fees now absent since Brexit, they have started to charge for incoming payments from UK.

EU membership is not a pre-req fir SEPA membership - see my earlier post. You are right, some Spanish are charging but they shouldn’t be. 

eDicky

colsten said:

eDicky said:

Spanish banks impose charges at every opportunity, so with the obligation to receive funds by SEPA without fees now absent since Brexit, they have started to charge for incoming payments from UK.

EU membership is not a pre-req fir SEPA membership - see my earlier post. You are right, some Spanish are charging but they shouldn’t be. 

Yes, I'm well aware that UK is still a member of SEPA despite being non-EU. There was a previous thread or two about Spanish and maybe other EU banks beginning to charge, but I don't think anything definite was established about their legal entitlement to do so regarding payments received from non-EU SEPA members. Meanwhile, apparently it continues...

[Deleted User]

eDicky said:

colsten said:

eDicky said:

Spanish banks impose charges at every opportunity, so with the obligation to receive funds by SEPA without fees now absent since Brexit, they have started to charge for incoming payments from UK.

EU membership is not a pre-req fir SEPA membership - see my earlier post. You are right, some Spanish are charging but they shouldn’t be. 

Yes, I'm well aware that UK is still a member of SEPA despite being non-EU. There was a previous thread or two about Spanish and maybe other EU banks beginning to charge, but I don't think anything definite was established about their legal entitlement to do so regarding payments received from non-EU SEPA members. Meanwhile, apparently it continues...

As far as I was aware, membership of the EU/EEA was the deciding factor not SEPA membership. To be fair to the Spanish Banks - UK Banks are now outside the EU/EEA regulatory framework and are no different from a US or Russian bank that sends a SEPA payment. This will have additional costs which they will recoup plus profit.

colsten

Deleted User said:

eDicky said:

colsten said:

eDicky said:

Spanish banks impose charges at every opportunity, so with the obligation to receive funds by SEPA without fees now absent since Brexit, they have started to charge for incoming payments from UK.

EU membership is not a pre-req fir SEPA membership - see my earlier post. You are right, some Spanish are charging but they shouldn’t be. 

Yes, I'm well aware that UK is still a member of SEPA despite being non-EU. There was a previous thread or two about Spanish and maybe other EU banks beginning to charge, but I don't think anything definite was established about their legal entitlement to do so regarding payments received from non-EU SEPA members. Meanwhile, apparently it continues...

As far as I was aware, membership of the EU/EEA was the deciding factor not SEPA membership. To be fair to the Spanish Banks - UK Banks are now outside the EU/EEA regulatory framework and are no different from a US or Russian bank that sends a SEPA payment. This will have additional costs which they will recoup plus profit.

The UK is part of SEPA. Neither the US nor Russia are. So why would payments from the UK be handled like payments from the US or Russia rather than like payments from other SEPA countries? What would be the point of being a SEPA member if you aren’t treated like a SEPA member?

colsten

I think the crucial point might be which bank makes the conversion. If the Spanish bank receives Pounds, they appear to be within their rights to make a charge, according to this SEPA article:



If they are being sent Euros, however, they should not be charging. 

hoc

There is a Brexit dividend even if UK remained within SEPA. SEPA is an EU project and if you read the fine print you would see technicalities that allow banks to charge from non EU origin. For example Italian banks usually charge payments from Switzerland, similar to UK they are in SEPA but not in the EU. So the answer is yes UK is still in SEPA but banks that want to can now charge following the end of Brexit transition. The end.

[Deleted User]

colsten said:

Deleted User said:

eDicky said:

colsten said:

eDicky said:

Spanish banks impose charges at every opportunity, so with the obligation to receive funds by SEPA without fees now absent since Brexit, they have started to charge for incoming payments from UK.

EU membership is not a pre-req fir SEPA membership - see my earlier post. You are right, some Spanish are charging but they shouldn’t be. 

Yes, I'm well aware that UK is still a member of SEPA despite being non-EU. There was a previous thread or two about Spanish and maybe other EU banks beginning to charge, but I don't think anything definite was established about their legal entitlement to do so regarding payments received from non-EU SEPA members. Meanwhile, apparently it continues...

As far as I was aware, membership of the EU/EEA was the deciding factor not SEPA membership. To be fair to the Spanish Banks - UK Banks are now outside the EU/EEA regulatory framework and are no different from a US or Russian bank that sends a SEPA payment. This will have additional costs which they will recoup plus profit.

The UK is part of SEPA. Neither the US nor Russia are. So why would payments from the UK be handled like payments from the US or Russia rather than like payments from other SEPA countries? What would be the point of being a SEPA member if you aren’t treated like a SEPA member?

UK SEPA transactions are no longer compliant with EU/EEA regulations and therefore subject to extra checks/admin.

Russia or the US could join SEPA (if they met the criteria) but the payment would still be originating outside the EU/EEA regulatory zone and therefore not covered by Single Market legislation.

What is so difficult to understand?