The Bank of Israel’s fee reform on current accounts is underway. As part of the reform, which will come into effect in stages between October 2026 and July 2027, the public will pay up to NIS 10 monthly (NIS 120 annually) for 100 monthly transactions on the checking account. For ongoing payment transactions, a new service has been set in banks called “payment account management”, which will have a symbolic and controlled price, and above all – a maximum. At the same time, a maximum price has also been set for collecting the fee for an immediate debit card.
Current account fees have been the focus of public struggles over the years, when over a decade ago a framework for fee baskets was issued in banks that still exists today. In practice, banks will now be required to launch a new service for the public that combines, according to Bank of Israel directives, the basic daily services for managing a current account, such as: crediting and debiting an account, depositing and withdrawing cash, transferring to another account, withdrawing, cashing or depositing a check or paying a voucher. In accordance with the new method, the bank will be able to charge a customer (individual or small business) who has an active bank account a fixed “payment account management” fee for 100 transactions per month. As part of the reform, the number of transactions included in the basic track was significantly expanded, from 10 transactions in a direct channel, and only one transaction by a clerk in the past, to 100 transactions per month.
In addition to increasing the quota, the range of services included in it has been expanded, and it will now also include instructions for canceling a charge, producing standard documents and reports, and locating documents. The default has also been changed so that the new track will automatically apply to all customers without the need for an active opt-in. The new method will replace the service established in 2014, and the collection method based on a single operation. In addition, the fewer operations performed on the bank account per month (0 to 2 operations), the amount to be paid will be reduced to NIS 5. Also, for each additional operation over 100 operations, included in this service, the amount of the commission will not exceed NIS 1. The new payment method will enter into force definitively in July 2027, while banks will be able to bring forward this date.
Supervision of the card fee rate for debit cards
The Bank of Israel also referred to debit cards that banks usually issue to customers in disadvantaged populations, and customers who are refused a credit card. These populations, the Bank of Israel says, do not generally benefit from an exemption from paying a fee for the card or other discounts in this area. In addition, holding a card allows for a reduction in the number of visits to branches, and makes it easier to carry out daily transactions instead of using cash.
The Bank of Israel says that to protect disadvantaged populations and contribute to strengthening the status of a basic means of payment that enables ongoing conduct, a move to supervise the card fee rate has been included in the reform so that it does not exceed NIS 7 per month. The maximum rate that was set balances the desire to cut the current rate of about NIS 9 shekels and maintaining a sustainable business model, without harming the quality of service provided to customers. This arrangement regarding debit cards will enter into force in October 2026 and will replace the current arrangement, in which there is an exemption from immediate debit card fees for three years, provided the customer has a credit card at the same time, and it also provides protection to a wider population and for a longer period.
Published by Globes, Israel business news – en.globes.co.il – on June 21, 2026.
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