In financial jargon, a procedure in which a targeted increase in charges is not implemented all at once. Instead, the approach is to take several steps over a period of time that is hardly or not at all perceived by the customer (peanuts: trivial amounts of money). A decided increase of, say, one GE is then implemented in five or even ten small steps (a projected change in rates with small, equal, incremental changes in each time period over a series of time periods until the full amount of the projected change is achieved). As experience has shown, such very small increases are also not an issue in the media. In contrast, a one-time fee increase attracts general attention and – to the detriment of the bank’s image – even makes it into the headlines of respected print media. – See acquisition fee, all-in fee, termination fee, bank fees, bank scolding, brokerage, base price, brokerage, fee, fixed fee, bait offer, account fee, margin coverage, irritant threshold, remuneration, early termination fee, overdraft fee.
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University Professor Dr. Gerhard Merk, Dipl.rer.pol., Dipl.rer.oec.
Professor Dr. Eckehard Krah, Dipl.rer.pol.
E-mail address: info@ekrah.com
https://de.wikipedia.org/wiki/Gerhard_Ernst_Merk
https://www.jung-stilling-gesellschaft.de/merk/
https://www.gerhardmerk.de/