transfering to UK account from Germany

I am slightly confused about the position wrt. charges for international bank transfers.

I have current accounts in both Germany (Kreissparkasse Mnchen Starnberg) and the UK (RBS). I routinely wish to transfer from the German account to the UK account. Over the past few years I've been charged many different fees. However using the standard EU-berweisung form it now seems to have settled onto a flat 7 UKP charge, levied by RBS after the Euro->UKP conversion. The German bank says the transaction should be totally free, and they impose no fees at all.

RBS tells me this is an "administrative" charge for receiving the transfer, it is not any sort of currency conversion charge. In their defense RBS say that non-UK (they pointed the finger specifically at Spanish) banks also levy similar or significantly greater charges for receiving funds from non-local banks.

However, my understanding is that a EU directive mandates that international transfers should be charged at the same rate within the EEA as those purely within national borders? Within Germany bank transfers (berweisung) are conmpletely free.

Have I misunderstood that directive? Does the UK have some kind of exemption? Or does it only apply to some of the charges - for example just the sending bank, the recipient bank can charge what they like?

Confused!?

KM Yes because we have not signed up for the Euro as our currency.

I believe the directive applies to the Eurozone only, so the UK is not included at the moment.

Chris

Despite many countries being in he Eurozone, they still normally charge a fee for inter-country payments. In any case these fees are after the bank has made money from currency conversion.

The excuse is given that there is no equivalent clearing system between countries.

There are some companies which specialise in currency conversion and moving money from banks in different countries. Not sure if it's still going and a couple of years ago was attracting some bad press there was a company I think called Money Bookers.

Try changing bank. Nationwide may be better for this.