PSD2: THE NEW PAYMENT SERVICES DIRECTIVE

Technology Reply - Financial Services company of the Reply group and Oracle partner was responsible for developing the Middleware architecture and the new graphic interface for the adaptation of the new authentication systems required for a well-known banking group by legislation.

The Directive (EU) 2015/2366 of 25 November 2015 is a European directive issued by the EU with the aim of improving the pre-existing regulations concerning the payment services of the internal market. This Directive known as "PSD2" or "Payment Services Directive 2" entered into force on 13 January 2018 is so called because it represents an evolution of the "Directive 2007/64 / CE" (PSD = Payment Services Directive) entered into force on 1st March 2010. The need for a new directive arose from the emergence of growing gaps in the pre-existing European rules regarding payment services that were caused by the unprecedented evolution of the European Payment System.

BACKGROUND

PSD2 changes the world of financial services and opened the doors to new entities such as EBA Clearing based on a pan-European payment system.

ADVANTAGES

A more effective management of bank data guaranteed by new operators: PISP , AISP and CISP.

OBJECTIVE

The primary objective of the PSD2 is: CREAT a single and integrated market for payment services, REGULATE digital payments, STRENGTHEN system security and ENSURE transparent competition.

SOLUTION

Technology Reply- Financial Services SOLUTION are based on: FRONTEND INTERFACE and MIDDLEWARE SERVICES.

From 13 January 2018 all EU Member States have implemented the new "Payment Service Directive" (PSD2) in terms of digital payments, issued by the European Union and the European Council, into their national legislation. The same legislation in terms of security of authentications should instead be implemented by Member States by September 2019.

The PISP (Payment Initation Service Provider) is a provider of payment order arrangement services; AISP (Account Information Service Provider) is an account information service provider and CISP (Card Initiation Service Payment) is a provider of card-based payment services.

The Directive guaranteed the expansion of the "positive scope" and the reshaping of the "negative scope" generated by the previous legislation. Together with the PSD2, the division of responsibility between the customer and the payment service provider has been regulated. The establishment of the Central Electronic Register of the European Banking Authority and the regulation of relations between payment service providers are just some of the aims of the new European directive.

The simple and intuitive FRONTEND INTERFACE is divided into interactive steps integrated with the new developed middleware services. Instead the MIDDLEWARE SERVICES concern an innovative authentication system called "SCA" (Strong Customer Authentication) and a new double confirmation system called ( Mapellum ).

The technological innovations that led to the formulation of the "Directive" have improved the security and transparency of financial institutions, guaranteeing them the opportunity to innovate and improve. Technology Reply has always pursues a process of continuous innovation to ensure its customers qualified support and cutting-edge solutions through cross-industry technological skills and process skills in the finance area.