It all started with the PSD, adopted in 2007. The main objectives were:
- Stronger customer authentication
- Rules and guidelines for payment services
- Simplification of payment processes across the EU
- Efficiency, innovation and cost reduction
- Legal platform for the Single Euro Payments Area – SEPA
- Better consumer protection
What new things does the PSD2 regulation bring to the table?
- Scope beyond Europe
- Prohibition of card surcharges
- Security of online payments
- Regulation of PSPs
- New types of third-party providers
Bill Gates said in 90s: “Banking is necessary, banks are not.” Will we see an era with solely digital services? Will the new regulation change banking as we know it? And more importantly, why are some banks afraid of the PSD2?
1. They do not trust third parties
2. Increased competition on the market
3. They are afraid to be cut out of the payment processes
How can banks stay vital in this time of changing banking climate?
- Follow EBA guidelines and technical standards (RTS)
- Prepare for the cooperation with trusted third parties and payment service providers
- Focus on online – open API banking is around the corner
- Every byte counts – protect your client data
- Learn from fintechs and startups