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EU: New rules increase competition and security between banks and fintech, toughen security

 |  November 27, 2017

The European Commission approved rules on Monday, November 27, to increase competition and toughen up security in how people pay for goods and services across the European Union, pitting banks against financial technology (fintech) firms.

The rules flesh out an update to the bloc’s payment services law and are among the most disputed in recent financial regulation, sparking intense lobbying as banks and fintech firms clashed over access to customer data.

“These new rules will guide all market players, old and new, to offer better payment services to consumers while ensuring their security,” European Commission vice president Valdis Dombrovskis said in a statement.

Brussels hopes that by boosting e-commerce it can erase borders in trading to increase growth.

The revised law comes into force on January 13, though some of the security elements approved on Monday won’t be binding until September 2019 to give banks and fintech firms time to adjust.

Full Content: DW

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