LIMITS FOR PAYMENTS IN CASH
The Association of Jewellery and Watch-Making of Portugal (Associação of Ourivesaria e Relojoaria de Portugal, AORP) and EFJ – European Federation of Jewellery are negotiating with the European Parliament concerning the existence of limits for payments in cash in force at the European level. This issue is related with the fight against practices of financing of terrorism and money laundering carried out by the Member States and by the European Union itself.
Today, each of the countries members of the European Union (UE-27) can determine whether or not there are limits for payments, as well as the relevant value. From the 27 countries included, 13 have limits and 15 have not establish them, which results in serious imbalances in the single market and also in significant disparities which affect the competitiveness of European jewellery industry.
Another special concern is the difference in the limits applied between residents and non-residents, which creates lack of understanding among the consumers. For example, in Portugal the limit values are of 3.000€ for residents and 10.000€ for non-residents. The rest of the values can be consulted in the attached table, here.
We are also showing a joint position of the associations members of EFJ on the tendency to progressively eliminate the use of cash as payment method preferring the use of electronic money products. The freedom of choice and the consumer’s right of personal data protection is defended here. It is pointed out that the payments in cash are universally accepted, more flexible and cost effective, allowing for a simpler closing of transactions.
Harmonisation is the position defended before the various European decision-making levels, as well as equivalence in the limits, clear interpretation in the distinction resident/non-resident and specific consideration of the jewellery industry with value in line with the product value.
The jewellery industry is particularly exposed to the lack of harmonisation and of consideration of the product value and sales characteristics, often high-value, markedly season sales or sales associated with people's important moments.
The legislation in force is the Directive (EU) 2015/849 of the European Parliament and of the Council, of 20 May 2015, concerning the prevention of the use of the financial system for purposes of money laundering or financing of terrorism.
For further information, please consult AORP.