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PSD2 affects EU consumers’ access to banking data and payments in many ways. This would place the new deadline as 31 June 2021.The signatories in the letter are led by the European Payment Institutions Federation (EPIF), and include the European Association of Payment Service Providers for Merchants (EPSM), Independent Retail Europe, Digital Europe, Visa, and Mastercard.“The financial impact of COVID on many organisations will likely mean that many will have reduced workforce and reduced budget to invest. From that point, banks and other financial services institutions had 18 months to update their systems. They would then input that code into the website to authorise the transaction. The effective date for PSD2 was January 2018.

This ranges from those providing payment services such as Stripe, PayPal and WorldPay to the actual credit card companies such as American Express, Mastercard and Diners Club International.PSD2 was passed in 2015, and countries were given time to incorporate it into local laws and regulations. Despite having two years to enact the rules, a large number of organisations left it to the last minute. There are several organisations delivering updates to their software in the current environment. GoCardless can helpWhat Is DSO (Days Sales Outstanding)?That means if a UK business collects any cross-border payments from elsewhere in the European Economic Area (EEA), SCA will still apply to those.What is a chart of accounts & is it important?Deferred Revenue: Definition & ExamplesThe 18-month phased implementation will begin on the original SCA rollout date of 14 September 2019.While the extended grace period gives businesses in the UK additional preparation time, the delay only applies to payments taken from within the UK itself.Other national regulators in the European Economic Area (EEA) may follow suit, but as yet none have communicated clear plans to do so.GoCardless makes it easy to collect recurring paymentsE-commerce is no longer in danger of dropping off a cliff in October; which is good news for consumers and a huge relief for online retailers.

Although the deadline for SCA compliance has already been extended from September 2019 to December 2020, in an open letter to the EBA, a group of six major players in the EU payments industry called for an additional six-month delay in the implementation deadline of SCA due to the current global COVID-19 crisis.

The Opinion is the EBA’s response to key industry questions about which authentication factors comply with the requirements for SCA. For mobile phones, the user can authenticate the payment using built-in biometric technology.Retailers are also guilty of dragging their feet when it comes to implementing new technology. But the industry must not simply kick the can down the road.