Banking News

EU to Mandate Instant Payments

(26 October 2022 – Belgium) A draft European Union (EU) law will require banks across the EU to offer and receive “instant payment” (IP) services for a fee equal to or lower than for traditional credit transfers.

Currently, some banks charge far more for an IP transfer, up to 30 euros in some cases, compared with traditional transfers.

U.S. duo Visa and Mastercard dominate cross-border card payments, and Brussels hopes instant payments, combined with reforms such as “open banking,” will boost competition

“Forcing banks across the European Union to offer instant payments in euros is a “seismic” shift to make the economy more efficient and reap savings for businesses and customers” said European Commissioner for financial services, Mairead McGuinness