As of September 2024, fresh rules on the usage of payment cards are in force. These changes consequence from the introduction of a fresh EU PSD3 (Payment Services Directive 3) directive aimed at enhancing transaction safety and protecting consumers from fraud. Check what changes await payment card users and what you request to pay peculiar attention to avoid problems.
Why the fresh Rules?
The fresh rules aim to increase the safety of payment transactions in the face of an expanding number of cyber attacks and card fraud. With technological progress, criminals are becoming increasingly creative, so it was essential to tighten the rules and introduce additional safeguards to aid defend consumers.
What's changing? Key aspects of the fresh Regulations
- Strong client Authentication (SCA)
One of the main changes introduced by the fresh Directive is the work to usage strong client Authentication. This means that on each online transaction the user will gotta confirm his identity by at least 2 of the 3 methods:
- Something he knows (e.g. password or PIN)
- Something he has (e.g. a mobile phone)
- Something that is (e.g. fingerprint or facial recognition) These changes aim to reduce the anticipation for wrongdoers to take over data and to reduce card fraud.
- Limits for Transactions Without PIN Confirmation
Quota limits for transactions are expanding without the request for a PIN. presently this limit is PLN 50, but after changes it will be increased to PLN 100. This means that we will be able to carry out larger purchases faster, without the request for a PIN code. - Better Protection against Fraud
Banks and financial institutions will be required to introduce advanced transaction monitoring systems. As a result, if suspicious activity is detected, the transaction will be blocked and the card owner immediately informed of the incident. - New Rules for Complaints and Reimbursements
The fresh rules besides introduce simplified complaint procedures for customers. In the event of a suspected fraud or mistransaction, the consumer will be able to file a complaint faster and easier and the bank will be required to process the notification more quickly.
How to Prepare for Change?
To avoid problems and stress, it is worth preparing for the upcoming changes. Here are any steps worth taking:
- Update Contact Details in the bank – make certain the bank has your current telephone number and email address to be able to contact you rapidly if necessary.
- Install the bank mobile app – this will make it easier to confirm the transaction and check the account balance on an ongoing basis.
- Check the limits on your card – adjust them to your needs to avoid blockages at larger purchases.
What is the threat of disobeying the fresh regulations?
Failure to comply with the fresh rules may consequence in a transaction blocking and even a card blocking in utmost cases. Banks will have the right to reject the transaction if all authentication requirements are not met. Therefore, it is worth to adapt to the fresh rules and decently safe your data.
The fresh rules on the usage of payment cards are aimed at expanding transaction safety and better consumer protection. The introduction of strong client authentication, raising the limits for transactions without a PIN and advanced monitoring systems are only any of the fresh ones that have been waiting for card users since September 2024. It is worth preparing for these changes to avoid problems and enjoy safe payments.
Continued here:
New Payment Cards Policy from September 2024 – See what will change!
