As of as of 13 January 2018, the revised European Payment Services Directive (PSD2) has come into force. With these new rules the Commission seeks to modernize Europe's payment services to the benefit of consumers by making electronic payments for goods and services cheaper, easier and safer.
The new rules entail the following:
- Prohibiting surcharging, that is outlaw additional charges for payments with consumer credit or debit cards, both in shops or online.
- Opening the EU payment market to companies offering payment services, based on them gaining access to information about the payment account.
- Introducing strict security requirements for electronic payments and for the protection of consumers' financial data.
- Enhancing consumers' rights in numerous areas, such as reducing the liability for non-authorized payments and introducing an unconditional ("no questions asked") refund right for direct debits in euro.
Valdis Dombrovskis, Vice-President responsible for Financial Stability, Financial Services and Capital Markets Union, commented on this: "This legislation is another step towards a digital single market in the EU. It will promote the development of innovative online and mobile payments, which will benefit the economy and growth. With PSD2 becoming applicable, we are banning surcharges for consumer debit and credit card payments. This could save more than 550 million Euros per year for EU consumers. Consumers will also be better protected when they make payments."
Source: European Commission