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Financial Services

Royal Bank backs away from charging customers fees to pay their bills

Royal Bank (TSE:RY) has receded, deciding not to impose transaction costs to some of its customers for anything from paying their monthly credit card bill to a mortgage or a personal loan.

The bank said it is responding to customers and that it decided to abandon its plan to include these transactions in the calculation of a monthly fee which allows a number of free transactions.

Under these changes, payments to credit card, or any other instrument, will ultimately not included in the monthly limit of free transactions.

TSE:RY

Clients of RBC who have an account allowing unlimited transactions will not be affected by the decision, one way or the other.

RBC faced a barrage of criticisms for the fees in the context of a broader change to its fee structure.

The official opposition New Democratic Party is calling on Ottawa to ban the practice of major Canadian banks, which require customers to "pay to pay."

Shares of Royal Bank were trading flat, -011 percent, this afternoon.

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