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The Banking Supervision Department today submitted its periodic report on the prices of common banking services for households to the Knesset’s Economics Committee. The report is based on data from banks and credit card companies on fees charged during the first half of 2025.

Supervisor of Banks Daniel Hahiashvili said: “In recent years, the Banking Supervision Department has worked to increase clarity and transparency in the prices of banking services.  As part of this, the following measures were advanced during 2025:

  • In December 2025, the Banking Supervision Department published a letter updating the format for contacting the Department regarding changes in the fee schedule, and added various clarifications with regard to fees.
  • In September 2025, the joint work team examining the fee and compensation structure for public securities activity, consisting of the Bank of Israel, the Israel Securities Authority, and the Ministry of Finance Budget Department, published an interim report[1] presenting the outline that it formulated to update the compensation model.
  • In July 2025, the Banking Supervision Department published for public consultation a draft of the reform in fees charged to households and small businesses for account management (including current accounts) and debit card services.[2] The Department has been working on advancing this reform, and a final draft will be published in the coming months.  The aim of the reform is to make it easier for the banking system’s customers to understand the basic banking services, and to simplify the existing charge mechanism for current account transactions.  For this purpose, the Banking Supervision Department is advancing an update to the charge method for executing current payment transactions, and is determining a new “payment account management” service at a fixed prices.  This price is expected to lead to lower costs, which will be more significant the more transactions a customer executes in his or her account.  In addition, the Department is advancing a maximum prices that can be charged for debit card fees.
  • In April 2025, a new chapter added to the Banking (Service to the Customer)(Fees) Rules, 5768–2008 (hereinafter: the Fee Rules) regarding “Information Concentration Services” took effect, following the development of advanced infrastructure for the transfer and receipt of information regarding the customer’s financial products at various financial entities. This addition is intended to encourage the development of information concentration services and analysis to benefit the customer.
  • In February 2025, the amendment to the Fee Rules intended to lower costs to the public of fees on secured guarantees for a specific monetary deposit took effect. In view of this, the charge mechanism was updated from a percentage mechanism to a fixed shekel price.  Furthermore, an additional service was set out, called “Secured bank guarantee for a specific monetary deposit for the purpose of a residential rental agreement”.  The cost of this service will be lower since activation is simpler, and out of a desire to make it easier for those renting their homes.
  • In January 2025, a new chapter added to the Fee Rules regarding “payment applications” took effect. This addition is intended to enable innovative services for receiving payments and executing payment orders.  As part of this, the fees in respect of these services will be charged from customers receiving payments or transferring payments via payment applications, where those payments total more than NIS 25,000 in a calendar year, for each service.  These customers comprise a small share of all customers conducting transactions through payment applications, so for most customers, the customer will remain without fees.  In addition, a “subscription to special service” was set out, enabling the collection of a fee for special services provided to payment application customers who wish to receive them, beyond the transfer and receipt of payments.”

The following are the main points of the report:

During the period covered by the report, the war continued, due to which the Bank of Israel formulated programs to assist the public.  These events had no further observable effects on the data in the report relative to the previous report.

  • During the reviewed period, there was a slight increase in the overall ratio between total fee income and total assets from 0.69% to 0.71%. The increase was mainly due to higher fee revenue from large businesses and an increase in revenue from securities activity by individuals and small businesses.
  • During the reviewed period, total revenue from fees collected from households and small businesses totaled NIS 3.1 billion. Most of the banks’ income from fees can from securities, current account, and payment card fees.
  • New information regarding the distribution of credit card company fee income was added through his report from the second quarter of 2025. Total revenue from fees that the credit card companies charged households and small businesses in the second quarter of 2025 totaled about NIS 0.6 billion.
  • The average fee for managing a current account and holding a payment card in a household account was NIS 31.5 per month during the period, compared with NIS 29.1 per month per account in 2024.

 

 

[1] https://www.boi.org.il/publications/pressreleases/21-9-25c/ (in Hebrew)

[2] https://www.boi.org.il/publications/pressreleases/15-07-2025/ (in Hebrew)