BNY Mellon is starting to charge customers whose balance exceedsan average of $50 million a month, the bank confirmed. It will putin place a fee of 13 basis points on the excess balances, and couldincrease that fee if Treasury bill rates go negative.

“In the past month, we have seen a growing level of deposits onour balance sheet from clients seeking a safe-haven in light of theglobal interest rate and credit environment,” the bank said in astatement. It noted that “Clients who maintain routine depositlevels will not be affected.”

The new fees were predicted in an analysis released last week byconsultancy Treasury Strategies and reported today by the WallStreet Journal.

Continue Reading for Free

Register and gain access to:

  • Thought leadership on regulatory changes, economic trends, corporate success stories, and tactical solutions for treasurers, CFOs, risk managers, controllers, and other finance professionals
  • Informative weekly newsletter featuring news, analysis, real-world cas studies, and other critical content
  • Educational webcasts, white papers, and ebooks from industry thought leaders
  • Critical coverage of the employee benefits and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor

© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.

Susan Kelly

Susan Kelly is a business journalist who has written for Treasury & Risk, FierceCFO, Global Finance, Financial Week, Bridge News and The Bond Buyer.