Overhaul Expected with EU Mobile Payment Regulations
The EU may soon be getting new mobile payment laws. The European Commission has not released specifics of the regulations, but they are expected to take place in the spring of 2015.
Nilixa Devlukia, a technical specialist for payments in the UK’s Financial Conduct Authority’s policy, risk and research team, said, “new legal framework would be separate from the ongoing moves to reform the Payment Services Directive.”
The new framework will need to be discussed in the European Parliament and Council of Ministers before it can be finalized. The discussions will also encompass decisions about creating or adding to the existing mobile payment laws.
“There will be an overhaul of the existing third party payment provider model that currently operates in the payments market,” said Devlukia. “The third party providers will not be able to get as ready access to ‘consumer bank credentials to facilitate transfers’ under the new regime.”
The new laws are expected to narrow the exemptions the current law puts in place. The European Commission has expressed concerns about how consumers are being protected with mobile payments because of the excessive exemptions currently in place.
Other points of discussion include network and information security, wire transfers, interchange fees and data protection.