2024 TM Pricing Outlook: Exception Pricing Gains

With continued pressures on net interest income and competition for deposits, treasury management (TM) pricing is one of the quickest levers to pull to drive fee revenues and protect balances at risk of remixing to interest-bearing options. 

According to Curinos’ recent Commercial Analyzer Executive Summary, nearly two thirds of banks plan to increase overall TM prices by 3% or more, with a quarter seeking increases greater than 5% (see chart). While still robust, these numbers are down from 2023, when over 90% sought price increases of more than 3%. 

At the same time, a high number of banks are seeking larger increases from exception pricing. In 2023, 23% of banks sought exception price increases of 5% or more, which doubled to 45% in 2024. While the leading banks have put in periodic review processes for making exceptions, we know anecdotally that exception prices for certain clients and banks have been left alone post-pandemic. This is likely a large driver of the uptick in focus on exception prices as it’s hard at many banks to drive meaningful growth only through standard price changes.