[ParlTrack]

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Recital 6

(6) Ensuring that all PSUs in the Union are able to place payment orders for and receive instant credit transfers in euro is a precondition for an increased uptake of such transactions. Currently, at least one third of PSPs in the Union do not offer instant credit transfers in euro. Moreover, the rate at whichPutting in place the instant payment service would open up a further payment channel for PSPs to offer their PSUs, but the uptake of such transactions should be left to the free competition market to balance service supply and demand in a balanced manner. Therefore, PSPs that offer their PSPUs have been adding instant credit transfers to their services has been, over the last few years, too slow, which hinders further integration of the Union’s internal payments market. Therefore, PSPs should be requireda payment service of sending and receiving credit transfers should also offer all their PSUs a payment service of receiving instant credit transfers. By contrast, these PSPs should be able to choose whether or not to offer ~~the~~a service of sending ~~and receiving~~ instant credit transfers ~~in euro~~.

2023/04/21
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Recital 8

(8) There is a variety of interfaces through which PSUs can place a payment order for a credit transfer in euro, including via online banking, a mobile application, an automated teller machine, in a branch, or by phone. ~~To ensure that all PSUs have access to instant credit transfers in euro, there should be no difference in terms of the~~In order to respect free market rules, the PSPs shall decide freely which PSU interfaces t~~hrough which PSUs can place~~o adapt for the placement of a payment orders for an instant ~~and other types of~~ credit transfer ~~transactions~~. Moreover, where it is possible for a PSU to submit to a PSP payment orders for credit transfers packaged together, that same possibility should also be made freely available with respect to instant credit transfers in euro. ~~PSPs should be able to offer all credit transfers in euro initiated by their PSUs as instant by default.~~

2023/04/21
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Recital 9

(9) It would not be proportionate to impose on payment institutions and electronic money institutions an obligation to offer the service of sending and receiving instant credit transfers in euro, because those institutions cannot be admitted as participants in a payment system designated in accordance with Directive 98/26/EC of the European Parliament and of the Council36. Those institutions may therefore experience difficulties in accessing the infrastructure necessary to execute instant credit transfers. It is therefore appropriate to exclude payment institutions and electronic money institutions from the obligation to offer the service of sending and receiving instant credit transfers in euroDirective 98/26/EC of the European Parliament and of the Council36 came into effect before the current payment landscape was established. Therefore, this directive needs to be revised as of now, before implementation gets under way. This would ensure greater uptake of instant credit transfers in euro, as it would allow PSPs such as payment institutions and electronic money institutions to be included from the outset within the scope of application of this regulation. __________________ 36 Directive 98/26/EC of the European Parliament and of the Council of 19 May 1998 on settlement finality in payment and securities settlement systems (OJ L 166, 11.6.1998, p. 45).

2023/04/21
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Recital 10

(10) PSUs are very sensitive to the level of charges for substitutable payment methods. The level of charges can therefore steer them towards or away from a given payment method. In those national markets where higher transaction-level charges for instant credit transfers in euro compared to charges for other types of credit transfers in euro have been applied, the uptake of instant credit transfers is low. That would suggest that the price difference between charges has prevented the attainment of the critical mass of instant credit transfers in euro that is necessary to realise the full network effects for PSPs and PSUs alike. ~~All types of charges applied to payers and payees for the execution of instant credit transfers in euro, including p~~However, this definitely does not mean that the difference in charges applied is inversely proportional to the uptake of instant credit transfers. Besides, capping charges could push up, rather trhan~~saction~~ bring down, charges for ~~lump sum charges, should therefore not exceed such charges applied to the same PSU for corresponding types of other credit transfers in euro. When identifying corresponding types of credit transfer~~instant credit transfers. Any charges applied by a PSP to payers and payees for the sending and receiving of instant credit transfer transactions in euro are freely negotiated by the contracting parties, wit shou~~ld be possible to use criteria including the PSU interface or the payment instrument used to initiate the payment, customer status and, where relevant, whether the payment is national or cross-border~~t prejudice to consumer protection, in order to strike the right balance between supply and demand in a competitive market.

2023/04/21
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Recital 10 a (new)

(10a) In order to prevent fraud and other illegal activities, be this of a coercive nature or otherwise, committed through the misuse of instant credit transfers, which cannot be recalled owing to the instantaneous nature of the transaction, PSPs need to allow PSUs the possibility of setting a maximum amount that can be transferred by instant credit transfer. If the instant payment amount were to be equal to or greater than this maximum amount, the transfer would not occur and the PSPs would be obliged to notify the PSU of the attempted instant credit transfer.

2023/04/21
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Recital 11

(11) Security of instant credit transfers in euro is fundamental for increasing PSUs’ confidence in such services and ensuring their use. Payers intending to send a credit transfer to a given payee may, as a result of fraud or error, provide a payment account identifier which does not correspond to an account held by that payee. Under Directive (EU) 2015/2366 of the European Parliament and of the Council37, the only determinant of the correct execution of the transaction with respect to the payee is the unique identifier, and PSPs are not required to verify the name of the payee. In the case of instant credit transfers, there is not enough time for the payer to realise the occurrence of a fraud or error and to try to recover the funds before they are credited to the payee’s account. PSPs should therefore verify whether there is any discrepancy between the unique identifier of the payee and the name of the payee provided by the payer, and notify the payer placing a payment order for an instant credit transfer in euro about any such discrepancies detected. To avoid undue frictions or delays in the processing of the transaction instantly, the payer’s PSP should provide such notification within no more than a few seconds from the moment the payer provided the payee information. To allow the payer to decide whether to proceed with the intended transaction, the payer’s PSP should provide such notification before the payer authorises the transaction. In any event, PSPs should not charge PSUs any additional amount for the payment account identification service and should ensure that PSUs can choose whether or not to use that service at the time of each payment order. __________________ 37 Directive (EU) 2015/2366 of the European Parliament and of the Council of 25 November 2015 on payment services in the internal market, amending Directives 2002/65/EC, 2009/110/EC and 2013/36/EU and Regulation (EU) No 1093/2010, and repealing Directive 2007/64/EC (OJ L 337, 23.12.2015, p. 35).

2023/04/21
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Recital 13 a (new)

(13a) In some cases, the payment account identifier (the international bank account number or ‘IBAN’) is filled out by payment initiation service providers (PISPs) who have a contractual relationship with the beneficiary merchant and have performed the due diligence in accordance with Directive (EU) 2016/849. Since the payer is not able to amend the account identifier, the risk of fraud or error is significantly reduced, since in practice the PISP does the equivalent of checking the bank account number. Demanding that a service certify that the payment account number (IBAN) and the name of the beneficiary match would be redundant and unnecessary in these circumstances, and it would hence seem appropriate, in this case, to provide for an exemption from the payment account identification service.

2023/04/21
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI

Proposal for a regulation
Recital 21

(21) Any processing of personal data in the context of providing instant credit transfers, or the service detecting and notifying discrepancies between the name and payment account identifier of a payee, as well as verifying whether PSUs are listed persons or entities should be in line with the Regulation (EU) 2016/679 of the European Parliament and of the Council39. Processing of the names and the payment account identifiers of natural persons is proportionate and necessary to prevent fraudulent transactions, detect errors and ensure the compliance with restrictive measures adopted in accordance with Article 215 TFEU providing for asset freeze or prohibition of making funds or economic resources available. Express reference should also be made to the competency of the respective national authorities for the protection of personal data with regard to possible infringements of the relevant legislation as well as with regard to the rights of data subjects in accordance with Articles 15 to 22 of Regulation (EU) 2016/679 of the European Parliament and of the Council40. __________________ 39 Regulation (EU) 2016/679 of the European Parliament and of the Council of 27 April 2016 on the protection of natural persons with regard to the processing of personal data and on the free movement of such data.

2023/04/21
Committee: ECON

Antonio Maria RINALDI, Valentino GRANT, Marco ZANNI