BNY Mellon Considering European Deposit Fees After ECB Cut

Bank of New York Mellon Corp., the world’s largest custody bank, is considering imposing a charge for holding client cash in Europe, after the European Central Bank cut its deposit rate to zero.

The reduction in the ECB’s rate will cost BNY Mellon $20 million to $25 million in the second half, Todd Gibbons, the New York-based bank’s chief financial officer, said in a telephone interview. BNY Mellon hasn’t yet decided whether to impose the charge.