Economics Knesset Committee passed an amendment on the rules for clearing checks

The Knesset's Economics Committee today passed another amendment - which is supposed to be the last - on the rules for clearing checks. This is an hour to complete a process that began in 2018.
The goal is to make it easier for customers who want to switch between banks - and now they can do so even if they have given checks in advance at the time of payment payments (for example, as is customary in advance rent payments or in kindergartens).
The head of the Bank of Israel's Supervisor of Banks, Tal Harel, mentioned that this is legislation that was introduced three and a half years ago, in the Arrangements Law in 2018, which is intended to increase competition, improve the banks 'service and strengthen customers' bargaining power. "The goal is to facilitate the transition between banks, in an easy and safe way, so that it will take place within 7 business days and at no cost to the customer."
"In this context, the important news is a 'follow me' service of charges and checks. The service will air on September 22, although it falls on the week of Sukkot and it is a bit challenging, but we make sure the process is conducted properly and the banks are prepared for it, and this is a significant revolution." Harel added.
The chairman, MK Michael Bitton (blue-and-white), wanted to know what the market share of each bank was and how the impact of the reform would be measured, whether it would have increased the aisles and lowered prices.
Harel replied that the system was imported from England, where the percentage of switching had not changed, but customer service had improved, and said that the Supervisor of Banks would examine this.
Chairman Bitton wondered if it was that the transition percentage did not change it was because customers had no reason to switch, because the banks were conducting the same thing, in a cartel-like manner. The committee will continue to monitor and ensure that the purpose of the reform, that the consumer pays less and receives better value for his money, is indeed realized, "he said.