What the EU is doing and why
An efficient market for retail payment services in Europe should guarantee
- the same rules all over the EU
- clear information on payments
- fast and instant payments
- consumer protection
- a wide choice of payment services
The EU is aiming to create a single payment area
- which lets citizens and businesses make cross-border payments as easily and safely as they would in their own countries
- where cross-border payments are subject to the same charges as domestic payments
Policy making timeline
- 23 July 2024Questions & answers – Instant payments
- 19 March 2024Legislation - Instant payments
Publication of the Instant Payments Regulation in the Official Journal.
The Regulation will enter into force on 8 April. - 7 November 2023Legislation - Instant payments
- 28 June 2023Legislative proposal - Payments services and electronic money services
Financial data access and payments package including
- a proposal for a new Payment Services and Electronic Money Services Directive (PSD3)
- a proposal for a new Payment Services Regulation (PSR)
- 2 February 2023Study - PSD2
- 26 October 2022Legislative proposal - Instant payments
- 10 May 2022Consultation - Payments services and open finance
The Commission launched 2 consultations
- a public consultation on the review of the revised payment services Directive (PSD2) and on open finance
End date: 2 August 2022
- a targeted consultation on the review of the revised payment services Directive (PSD2)
End date: 5 July 2022
- a public consultation on the review of the revised payment services Directive (PSD2) and on open finance
- 18 October 2021Call for advice - PSD2 review
- 31 March 2021Consultation - Instant payments
The Commission launched 2 consultations
- a public consultation on instant payments
End date: 23 June 2021
- a targeted consultation on instant payments
End date: 23 June 2021
- a public consultation on instant payments
- 19 January 2021Communication - Financial system
- 2 July 2020Initiative - European payments initiative
- 13 September 2019Legislation - PSD2
- 26 July 2019Initiative - Transition to new payment rules
- 21 June 2019Opinion - Strong customer authentication
- 28 March 2018Legislative proposal - Cross-border payments
- 12 January 2018Legislation - PSD2
The Payments Services Directive came into force.
- 2015Legislation - PSD2
The EU adopted a new Directive on Payment Services (PSD2) to improve the existing rules and take new digital payment services into account. The Directive became applicable in January 2018.
- 2007Legislation - PSD1
The EU set up common rules for payments with the adoption of the first Payment Services Directive (PSD1).
The PSD2 Directive includes provisions to
- make it easier and safer to use internet payment services
- better protect consumers against fraud, abuse, and payment problems
- promote innovative mobile and internet payment services
- strengthen consumer rights
- strengthen the role of the European Banking Authority (EBA) to coordinate supervisory authorities and draft technical standards
The Directive is part of a legislative package that also includes a Regulation on Multilateral Interchange Fees. Together, the regulation and the second Payment Services Directive,
- limit the fees for transactions based on consumer debit and credit cards
- ban retailers from imposing surcharges on customers for the use of these types of cards
Basic information
- Text of the PSD2 (2015/2366/EU)
- Summary of the legislation: Revised rules for payment services in the EU
Delegated and implementing acts
Transposition by EU countries
- Transposition history of PSD2 by EU Member States
- European Banking Authority (EBA) guidelines on the implementation and interpretation of the PSD2
Ongoing revision
Legislative history
The Payment Services Directive established the same set of rules on payments across the whole European Economic Area (European Union, Iceland, Norway and Liechtenstein), covering all types of electronic and non-cash payments, such as
- credit transfers
- direct debits
- card payments
- mobile and online payments
The Directive laid down rules about the information that payment services providers have to give to consumers and about the rights and obligations linked to the use of payment services.
The Directive introduced a new category of payment service providers other than banks – the so-called 'payment services'. This has increased competition and choice for consumers.
The Directive also laid the groundwork for the single euro payments area (SEPA), which allows consumers and businesses to make payments under the same conditions across the euro area.
Basic information
Transposition by EU countries
- The Payment Services Directive (PSD1) was transposed by all EU Member states into their national law.
- Questions and answers on PSD1 published by the Commission
Legislative history
Basic information
Legislative history
- Original legislative proposal for the Instant Payments Regulation
- Impact assessment accompanying the legislative proposal for the Instant Payments Regulation
- Executive summary of the impact assessment accompanying the legislative proposal for the Instant Payments Regulation
- History of the legislative initiative on instant payments
Basic information
- Text of the SEPA Regulation (260/2012/EU)
- Summary of the legislation: Single Euro Payments Area Regulation
Monitoring and enforcement
- Report from the Commission on the application of Regulation EU n°260/2012 establishing technical and business requirements for credit transfers and direct debits in euro and amending Regulation (EC) No 924/2009
- Annex to the report from the Commission on the application of Regulation EU n°260/2012 establishing technical and business requirements for credit transfers and direct debits in euro and amending Regulation (EC) No 924/2009
Ongoing revision
- Legislative proposal on instant payments
- More information on the legislative initiative on instant payments
Legislative history
Basic information
- Text of the Cross-border Payments Regulation (924/2009/EC)
- Summary of the legislation: Cross-border payments in euros
Implementation and enforcement
- Frequently asked questions on the Cross-border Payments Regulation published by the Commission
- Note on the application of Regulation (EC) 924/2009 on cross-border payments to ATM withdrawals
- List: National competent authorities - Article 9 of Regulation (EC) No 924/2009 on cross-border payments
- Note on the application of Regulation (EC) 924/2009 on cross-border payments to ATM withdrawals
Legislative history
- Original legislative proposal for the Cross-border Payments Regulation
- Impact assessment accompanying the legislative proposal for the Cross-border Payments Regulation
- Executive summary of the impact assessment accompanying the legislative proposal for the Cross-border Payments Regulation
More information
Extension of rules to other EU currencies
Basic information
- Text of the E-money Directive (2009/110/EC)
- Summary of the legislation: Electronic money: business and prudential supervision
Transposition by EU countries
- The E-money Directive was transposed by all EU Member states into their national law.
- Transposition of the E-money Directive by EU countries
- Questions and answers on the E-money Directive published by the Commission
Legislative history
Related links
Framework for financial data access
Leaflet: Your rights when making payments in Europe
Coordinating innovation in payment services: Euro Retail Payments Board (ERPB)
Coordinating innovation in payment services: European Forum for Innovation in Payments (EFIP)
EU standards on electronic invoicing for public procurement
Payments, transfers and cheques - Information on consumer rights (Your Europe)