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Something that is often overlooked about PSD2 is the introduction of a real liability model and explicit customer consent. What happens today is that account ag

Something that is often overlooked about PSD2 is the introduction of a real liability model and explicit customer consent. What happens today is that account aggregators and payment initiation providers (this is true in US and EU) are operating in a gray area where transparency, consumer protection, and liability are either completely neglected or totally insufficient. PSD2 will create a clear regulatory framework, will introduce consumer protection, oversight from competent authorities and ultimately will create a transparent liability model for all the actors involved in the flow (data and payments). I think this is a great outcome for consumers and market competition. PSD2 is not perfect but is shaking the industry quite a lot. I'm working on TrueLayer (http://truelayer.com http://truelayer.com) which is a universal bank API platform in the context of PSD2. Email in profile if you want to chat about this topic.

candiodari 10y ago
I wonder how much this regulation has to do with the EU commission being terrified after Brexit and wanting to create more financial linkage between member states. I feel this regulation may backfire in that regard. What will an institution like Deutsche do if/when they fuck up implementing this ? What will the government do in response ? Especially given the state of European banks (TLDR: who are going to need a bailout soonish).
- genmon 10y ago
  It pre-dates Brexit. It's coming into force now, but legislation passed in Nov 2015, and was being developed for some time before that
- ErrantX 10y ago
  A lot of PSD2 was pushed for by the UK I believe, pre Brexit
  - robhu 10y ago
    Indeed, and the EBA is based (for the moment at least!) in London.
- matt4077 10y ago
  Creating "financial linkage" is an obvious direct result of the EU's primary mission. Regarding the risks you (and other in this thread) mention: This really isn't something that has any impact on the system's exposure to risk. It's just a technical process for moving information and (limited amounts of) money between banks and financial service companies. If you're worried about a meltdown of the banking system, you have to look at the regulations on capital requirements, accounting standards, asset valuations etc.

candiodari 10y ago

I wonder how much this regulation has to do with the EU commission being terrified after Brexit and wanting to create more financial linkage between member states. I feel this regulation may backfire in that regard. What will an institution like Deutsche do if/when they fuck up implementing this ? What will the government do in response ? Especially given the state of European banks (TLDR: who are going to need a bailout soonish).

genmon 10y ago
It pre-dates Brexit. It's coming into force now, but legislation passed in Nov 2015, and was being developed for some time before that
ErrantX 10y ago
A lot of PSD2 was pushed for by the UK I believe, pre Brexit
- robhu 10y ago
  Indeed, and the EBA is based (for the moment at least!) in London.
matt4077 10y ago
Creating "financial linkage" is an obvious direct result of the EU's primary mission. Regarding the risks you (and other in this thread) mention: This really isn't something that has any impact on the system's exposure to risk. It's just a technical process for moving information and (limited amounts of) money between banks and financial service companies. If you're worried about a meltdown of the banking system, you have to look at the regulations on capital requirements, accounting standards, asset valuations etc.