The European Commission has proposed new measures to modernize payment services in Europe, including upgrading the Payment Services Directive (PSD2) to PSD3 and enhancing financial data access. The proposals aim to combat fraud, improve consumer rights, enable open banking services, and establish a framework for financial data access. Additionally, the Commission has introduced proposals to protect access to cash and create a legal framework for a possible digital euro.
Facts
- The European Commission aims to modernize payment services and upgrade PSD2 to PSD3.
- The proposals reflect the changes in the payment services market and the accelerated growth of electronic payments, fueled by the Covid-19 pandemic.
- The proposed measures seek to ensure consumer protection, competition, and secure data sharing for better financial products and services.
- The Commission plans to combat fraud, increase consumer awareness, strengthen customer authentication, improve transparency, and remove obstacles to open banking services.
- The proposals also include establishing a framework for financial data access (FIDA) to manage customer data sharing in the financial sector.
- FIDA aims to provide clear rights and obligations, customer control over data access, standardization of data and technical interfaces, and liability regimes for data breaches.
- The EC has proposed measures to protect access to cash and establish a legal framework for a possible digital euro, complementing existing payment options.
