Yahoo Finance | Italy fines Revolut over consumer code breaches
Italy’s competition authority has issued penalties totalling more than €11m ($12.6m) against several companies in the Revolut group, citing unfair commercial practices under the Consumer Code. Revolut Securities Europe UAB and Revolut Group Holdings received a €5m fine for violating Articles 20, 21 and 22. The watchdog said customers were not told clearly, at the earliest stage of contact, about extra charges and restrictions linked to “commission-free” investing. It also referred to trading in fractional shares, noting these can differ from full shares in risk profile, investor rights and transferability.
A further €5m fine was imposed on Revolut Group Holdings and Revolut Bank UAB. The regulator found the firms’ approach to suspending, limiting or blocking payment accounts to be “aggressive”, while key information about terms and processes was missing or not presented clearly. It said users did not receive adequate pre-contractual details, were not given advance warning before restrictions took effect, and were not offered an opportunity to respond or sufficient support after limits were applied. The regulator added that restricted access to funds and related services, sometimes for long periods, can prevent customers from exercising contractual rights and covering day-to-day needs, including urgent expenses.
For this part, the competition authority cited breaches of Articles 20, 21, 22, 24 and 25, adding the conduct could improperly influence decisions made by consumers and microenterprises. Separately, Revolut Group Holdings and Revolut Bank UAB were fined €1.5m for failing to set out clearly the requirements and expected timing for obtaining an Italian IBAN (starting “IT”) instead of a Lithuanian IBAN (starting “LT”). The watchdog said these flouted Articles 20, 21 and 22. "Italy fines Revolut over consumer code breaches" was originally created and published by Retail Banker International, a GlobalData owned brand.
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https://finance.yahoo.com/economy/policy/articles/italy-fines-revolut-over-consumer-112118417.html
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