Recent Developments

The effective date of the Communiqué No. 2020/4 on the Procedures and Principles Regarding Fees That Banks Can Charge to Corporate Clients ("Communiqué") was initially set for March 1, 2020. However, the Communiqué No. 2020/5 on the Amendments to the Communiqué No. 2020/4 on the Procedures and Principles Regarding Fees That Banks Can Charge to Corporate Clients ("Amendment") was published on the Official Gazette No. 31054 dated February 29, 2020, postponing the effective date of certain changes enacted by the Communiqué.

What Do the Communiqués Say?

Other than Article 15, which sets out the principles regarding electronic fund transfers, transfers and precious metal transfers, and Article 20 regarding determining the POS commission rates for merchant fees, the effective date of the provisions of the Communiqué were delayed until April 1, 2020.

Conclusion

The Amendment aims to alleviate the difficulties that banks are experiencing in complying with the Communiqué by delaying the effective date of the restrictions concerning many material banking transactions, including commitment fees, utilization fees and prepayment fees. Furthermore, the postponement will provide additional time for the Central Bank and the Banks Association of Turkey to discuss the definition of certain restrictions and rates.