Cash Management costs in Italy

This topic has 8 replies, 4 voices, and was last updated 2 months, 1 week ago by Patrick Kunz.

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- December 27, 2023 at 3:16 pm
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Patrick Kunz
Keymaster

Doing a cash management review for a client and checking the cash management costs of their local bank.
Pricing is significantly higher then other banks charge in other countries.

For sepa i would expect costs of 0,05-0,20 per transaction. For WIRE payments 5-15 euro per payment.

Is there a reason why it should be higher in Italy ?

thnx for the help here

Treasury for champions

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- January 5, 2024 at 3:27 pm
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Hans Dunnik
Participant

I believe it depends on relationship/negotiation (if at least your Italian bank is part of your global relationship bank..)…
For us we have an agreed European (Euro) agreed pricing structure, regardless of being Italy or for example Austria.
- January 5, 2024 at 4:55 pm
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Danilo
Participant

Hi,
I agree on the relationship/negotiation with the banks. Every script can cost below 0.20. Cross border payments (otuside SEPA) might cost 5 EUR.
- January 5, 2024 at 5:16 pm
- Quote
Patrick Kunz
Keymaster

Thanks Hans and Danilo for your replies.
I agree it should not be different to other countries and a matter of negotiation. A very odd and expensive quote from a global bank made me thing there might be some specials in Italian cash management.

This forum proves to be the perfect place to get answers and confirmation quickly 🙂

Treasury for champions
- January 25, 2024 at 2:31 pm
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Dijkstra
Participant

Our Italian subsidiary has a non resident EUR bank account in our Dutch Rabo NL notional cash pool benefiting from negotiated Rabo bank charges.
- January 25, 2024 at 2:44 pm
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Patrick Kunz
Keymaster

Hi Douwe,
good one! probably saves you money indeed.

Follow up question then: how do you deal with Tax payments which need to be done by local italian banks ?

Treasury for champions
- January 25, 2024 at 2:59 pm
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Dijkstra
Participant

Italians tax payments (F24 form) are executed by a local Italian bank, also used for some petty cash transactions and credit cards.
- February 13, 2024 at 5:36 pm
- Quote
Hans Dunnik
Participant

F24 via BNL (100% sub of BNP) and loaded via file upload in global portal (but took long time to develop the file upload process…)
I am interested how you are managing PagoPa payments in Italy ? We have hundreds of them per month… and this can’t be paid via SEPA but is really a local payment scheme with specific Qbill codes and references (aviso) and is currently all done manually in local BNL portal by Outsourced AP department.

Does anyone have setup where they can pay PagoPa via SAP or via TMS in an automated way ?
- February 14, 2024 at 11:02 am
- Quote
Patrick Kunz
Keymaster

F24 can be done via XML indeed with a special setup (and the receiving bank need to be able to accept them).
PagoPa via upload from TMS/File i have never seen. I know Unicredit is working on it but not yet finished.

PagoPa via a bank specific setup is working. Unicredit has a solution where they prepare it in their online banking tool and from there it can be approved/send to the tax authoristies. Better then doing it manually!

But again this will depend from bank to bank and their service offering.

Happy to hear other opinions here as well.

Same for Spain but that should be a different topic.

Treasury for champions