What is EU Payment Services Directive?
The Payment Services Directive is an EU law that, in 2009, introduced common EU rules for electronic payments such as credit transfers, direct debits, card payments, and mobile and online payments. It was intended to make payments between EU countries as easy and secure as payments made within a country.
Who does the Payment Services Directive apply to?
PSD2 is an EU Directive which sets requirements for firms that provide payment services, and will affect banks and building societies, payment institutions, e-money institutions and their customers.
What is the Payment Services Directive 2 PSD2?
The PSD2 clarifies liability issues between the bank holding the account and the payment initiation service provider. In case of an unauthorised payment transaction initiated through a payment initiation service provider, the account-servicing payment service provider must refund the payment service user.
What are PSD2 requirements?
To protect the consumer, PSD2 requires banks to implement multi-factor authentication for all proximity and remote transactions performed on any channel. This obligation means using two of these three features: Knowledge: Something only the user knows, e.g., password, code, personal identification number.
What Is Second Payment Services Directive?
PSD2 aims to reduce fraud and improve consumer choice: 1. Strong Customer Authentication (SCA) is mandated under PSD2 from 31 December 2020 and will be required for all European e-commerce transactions. 2. The challenge is to reduce and manage fraud without negatively impacting the customer experience.
What is online payment service providers?
What are Payment Service Providers (PSPs)? PSPs (also called Merchant Service Providers) are third-party companies that help business owners accept a wide range of online payment methods, like online banking, credit cards, debit cards, e-wallets, cash cards, and more.
Are payment service providers regulated?
You can use it to make payments for goods and services. Issuing e-money is a regulated activity in the UK. Authorised payment institutions (APIs): APIs provide a range of regulated payment services.
What does a payment service provider do?
Payment service providers connect merchants, consumers, card brand networks and financial institutions. Payment service providers bring all financial parties together to deliver a simple payment experience for merchants and their customers by processing payments quickly and efficiently.
Where is SCA required?
European Economic Area
In what cases will SCA apply? SCA will be required on card transactions in which both the merchant’s acquiring bank and the bank issuing the buyer’s debit or credit card are located within the European Economic Area (EEA).
What is a PSD individual?
Application Form for an individual responsible for the. management of a Payment Institution. Notes to help complete the PSD Individual Form for an individual responsible for the management of a small Payment Institution (SPI) or authorised Payment Institution (API).
What are examples of payment providers?
List of online payment service providers
|Online, POS, mobile
|Online, POS, mobile
What is the Payment Services Directive 2015/2366?
( *1 ) Directive (EU) 2015/2366 of the European Parliament and of the Council of 25 November 2015 on payment services in the internal market and amending Directives 2002/65/EC, 2009/110/EC, 2013/36/EU and Regulation (EU) No 1093/2010 and repealing Directive 2007/64/EC (OJ L 337, 23.12.2015, p. 35).’.
What is the PSD2 Payment Services Directive?
Directive (EU) 2015/2366 of the European Parliament and of the Council of 25 November 2015 on payment services in the internal market, amending Directives 2002/65/EC, 2009/110/EC and 2013/36/EC and Regulation (EU) No 1093/2010 and repealing Directive 2007/64/EC (“ PSD2 ”) had to be transposed by the Member States by 13 January 2018.
What is the 39th Directive 2013/36/EU?
( 39) Directive 2013/36/EU of the European Parliament and of the Council of 26 June 2013 on access to the activity of credit institutions and the prudential supervision of credit institutions and investment firms, amending Directive 2002/87/EC and repealing Directives 2006/48/EC and 2006/49/EC ( OJ L 176, 27.6.2013, p. 338 ).”
What are the amendments to the EU Payment Services Directive?
Amendments to Directive 2002/65/EC Article 111. Amendments to Directive 2009/110/EC Article 112. Amendments to Regulation (EU) No 1093/2010 Article 113. Amendment to Directive 2013/36/EU Article 114. Repeal Article 115. Transposition Article 116. Entry into force Article 117. Addresses 1. Services enabling cash to be placed on a payment account…