Payment services: new rules in sight

To ensure affordable, secure instant payments in euro that conform to rules on sanctions and financial crime, a new EU regulation 2024/886 of the European Parliament and of the Council of 13 March 2024 amending Regulations (EU) No 260/2012 and (EU) 2021/1230 and Directives 98/26/EC and (EU) 2015/2366 as regards instant credit transfers in euro was adopted and published in the EU Official Journal on 19 March 2024 (the Instant Payment Regulation or IPR).

This regulation will make instant payments fully available in euro to consumers and businesses in the EU and in EEA countries.

The main goals of the IPR can be summarized as follows:

First, it seeks to make instant payments universally available and affordable. In this context, the IPR mandates that payment services providers (PSPs) offer instant credit transfers within a defined period and at a price not exceeding standard transfers. In practical terms, the IPR will allow people to transfer money within ten seconds at any time of the day, including outside business hours, not only within the same country but also to another EU member state.

Additionally, under the new framework, the PSPs will have to verify the match between the bank account number (IBAN) and the name of the beneficiary provided by the payer, in order to alert the payer of a possible mistake or fraud, as well as verifying that their clients comply with rules on sanctions and financial crime.

Another significant change from the existing framework is the access of payment institutions and electronic money institutions to payments systems, by changing the settlement finality Directive (SFD). As a result, these entities will be covered by the obligation to offer the service of sending and receiving instant credit transfers, after a transitional period. This change is meant to ensure a level playing field with banks.

It is also worth mentioning that IPR also amends the safeguarding of funds provision under PSD2, allowing funds to be deposited in separate bank or central bank accounts.

What’s next?

Compliance deadlines for PSPs vary based on location, with eurozone PSPs required to offer instant payments by January 9, 2025, and non-eurozone PSPs by January 9, 2027.

The service ensuring verification applies from October 9, 2025, for eurozone PSPs and July 9, 2027, for non-eurozone PSPs.

PSPs must comply with new sanctions screening rules by January 9, 2025, and amendments to the SFD and PSD2 must be transposed into national law by April 9, 2025.

For more information or assistance on this topic, you may reach out to our regulatory team at

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