News about Regulation.
March 31st, 2017
The UK’s Financial Conduct Authority has set out measures it plans to tighten the processes banks undergo when a customer reports a stolen contactless card, which currently allow — in a “limited set of circumstances” — for a stolen card to be misused by fraudsters “several months after it has been cancelled”.
March 27th, 2017
Significant confusion and a high level of fragmentation can be expected over the next five years as European financial institutions become accustomed to new regulations under the Payment Services Directive (PSD2) which will open the door to new competition within the European payment services market, says Nordea Bank’s vice president of strategic business development, transaction banking and business innovation.
March 21st, 2017
A blockchain-based digital identity network that will let Canadians verify their identity to organisations of their choice and access services such as new bank accounts, driving licenses or utilities using a mobile app is now undergoing testing ahead of a planned launch later this year. The service is backed by a group of Canadian banks that includes BMO, CIBC, Desjardins, RBC, Scotiabank and TD.
March 2nd, 2017
Nordic bank Nordea has launched the first version of its Open Banking/Open API portal, offering third-party developers the chance to collaborate with the bank as part of the requirements laid out by the European Payment Services Directive (PSD2). “Nordea is seeking to actively collaborate with third parties and industry innovators to co-create future banking services,” says Nordea’s Jarkko Turunen. The bank’s Liisa Kanniainen has written for NFC World’s What’s New in Payments report on what the new European PSD2 and GDPR regulations mean for the future role of banks.
January 30th, 2017
Indian mobile wallet providers may soon be required to insure their customers’ money. “The government is mulling over bringing insurance into the segment, on the lines of debit and credit cards,” Business Standard reports. “It has already held three meetings with mobile wallet and insurance companies and hopes to bring in the new regulations to make it mandatory for mobile wallets to insure money. The Ministry of Electronics and Information Technology will soon come out with the rules.”
January 24th, 2017
The People’s Bank of China (PBOC) is to ban third-party payment providers, such as Alibaba-owned Alipay, from using their clients’ money, China Daily reports. “Starting from April 17, a total of 267 third-party organisations with central bank licenses in China will have to submit around 20% of provisions to a single account opened in a commercial bank with the central bank’s approval,” the publication reports. The 20% limit will rise to 100% once the companies have adjusted to the changes.
November 14th, 2016
Blockchain consortium R3 and 10 of its member banks have developed a proof-of-concept Know Your Customer (KYC) registry using distributed ledger technology to address the “challenges associated with satisfying regulatory requirements” and allowing identities to be managed by their owners. “The project simulated establishing the identity of both a legal entity and an individual using KYC data and identity attestations by third-parties,” International Business Times reports.
July 25th, 2016
People’s Bank of China (PBOC) is working to create a system for regulating QR code mobile payments in the country, after it suspended QR code-based services run by third-party payment providers in March 2014. “Payment providers including Alipay and Tenpay, along with a number of commercial banks, have continued marketing their QR code payment services,” Caixin reports. “A source close to the central bank said that the 2014 ban was put in place because there were no rules or standards for third party QR code payment services.” PBOC also moved to open up Chinese mobile payment services in August 2015.
June 3rd, 2016
The European Commission has approved the proposed acquisition of Visa Europe by Visa. “Visa has now received all regulatory approvals required for the acquisition,” Visa says. “The transaction has already been cleared by both the Jersey and the Turkish competition authorities. The transaction is expected to close in Visa Inc’s fiscal third quarter of 2016. Visa will announce the closing once it has occurred.”
April 5th, 2016
A call by Sweden’s central bank to make using cash a legal right for consumers will create question marks in the minds of central banks and other players in international markets and will raise “some concerns” about a completely cashless society, the CEO of Turkish card payment system operator BKM has told attendees during a panel session at Money20/20 Europe.
March 30th, 2016
EMVCo has updated its tokenization specification to include a new payment account reference (PAR) that can be used to link a cardholder’s payment token with their primary account number (PAN) without needing to use their underlying…
February 5th, 2016
Members of the Australian Payments Clearing Association (APCA) are currently exploring the possibility of implementing a voluntary code of practice to regulate digital wallets in the country. The association’s 100 members were due to respond…
September 24th, 2015
Regulators are looking more closely at whether technology companies that provide financial services should be supervised more heavily, according to HSBC chairman Douglas Flint. “Regulators all around the world are reflecting on the extent to which internet companies are conducting banking business and at which point they should be licensed as a bank,” Flint said, as reported by Reuters.
August 4th, 2015
People’s Bank of China has proposed new regulations that could force internet companies Alibaba, Tencent and Baidu to offer each others’ online payment services alongside their own. “If payment services from social networking and online entertainment firm Tencent and search firm Baidu are offered on Alibaba’s ecommerce sites, users could opt to use those,” Reuters reports. “Alternatively, Alipay could cement its dominance if customers opt to use it on rivals’ platforms.”
May 22nd, 2015
NFC World’s ‘Tap to travel: Delivering NFC transport ticketing services at scale’ webinar is now available to view online. Some 359 people signed up to take part in the live event and participants gave the…
February 16th, 2015
“Apple Pay has hit bumps in China despite Apple’s efforts to make friends with Alibaba and UnionPay,” Caixin reports. Talks between Apple and the national payments network, which were due to lead to an agreement in March, “have stalled”, the report adds, while Apple still has regulatory hurdles to overcome as “it’s unclear whether the product meets the government’s requirements for a commercial operation”.
November 12th, 2014
The Canadian government is preparing to give merchants the ability to refuse to accept a particular NFC payment service if it attracts higher than usual fees — should that situation ever arise in the future, a document obtained by the WSJ reveals. “Should fees set by the payment card networks in respect of contactless payments made from a mobile device increase relative to card-based contactless payments, payment card networks will develop the technical specifications to ensure that merchant acceptance of contactless payments made from a mobile device can be cancelled at the point-of-sale without disabling other forms of contactless payments acceptance,” the document states.
November 4th, 2014
A Virginia Circuit Court judge has ruled that police officers cannot force criminal suspects to divulge mobile phone passwords but they can force them to unlock their phone with a fingerprint scanner, WSJ reports. “The Fifth Amendment to the US Constitution gives people the right to avoid self-incrimination. That involves divulging secret passwords,” the article says. “But, providing fingerprints and other biometric information is considered outside the protection of the Fifth Amendment.”
October 24th, 2014
Apple is eyeing up the possibility of launching Apple Pay in Korea, Korea Bizwire reports. “It is reported that the American company inquired with the Financial Supervisory Service about the electronic payment business licensing and security suitability evaluation procedure,” the article says. “According to financial industry sources on October 20, officials from Apple Korea visited the financial regulator recently and asked about domestic registration of its new e-payment service Apple Pay.”
October 2nd, 2013
NFC provider iZipline has unveiled PackageTagz, a patent-pending process for adding NFC functionality to pouch packaging. PackageTagz applies an NFC tag as the package is produced and is tethered to a software platform provided by…