From today (Friday 1 December) the maximum rate of interest that banks are allowed to charge customers that have gone into the red has been raised. In Belgium the Federal Economy Department determines the maximum amount banks can charge their customers for an overdraft or credit card repayments.
From today the maximum level of interest that can be levied on overdrafts or credit card repayments that are spread over several months will be raised by 1 percentage point. However, banks are not obliged to raise the level of interest they charge. The Federal Economy Department simply sets maximum limits to how much they are allowed to charge.
The new maximum level of interest only applies to new credit contracts or loans. The level of interest charged on existing loans will remain unchanged.