Re: post competition and banking in a post psd2 world

I agree.

I would add this quotation from PSD 2 page 40 :

"When exclusively providing payment initiation services, the payment 
initiation service provider does not at any stage of the payment
chain hold the user’s funds. *When a payment initiation service provider 
intends to provide payment services in relation to which it**
**holds user funds, it should obtain full authorisation for those 
services*."

Which means that it is possible (it is already the case today) for a 
non-bank PSP to hold funds of its customers on what the PSD calls 
"payment accounts" :

the conditions are:

- such accounts are dedicated to serve as support of payment 
transactions (the funny thing is that our current accounts are precisely 
used for that in a huge proportion)

- the amounts must be protected, and it can be done either by 
transferring the funds everyday on a special account in a bank, or by an 
insurance mechanism.

For that purpose, PSD2 creates an interesting new object called "account 
servicing payment service provider":

it is "a payment service provider providing and maintaining a payment 
account for a payer" (see Art 4 Definition)

So we could have entities proposing only that service.

Of course, all these new actors will count on "PSD2 API", which propose 
access to accounts.

But the W3C API is also going to change the "who does what" landscape, 
because the need to have "Acquirers" as we have today is likely to 
disappear.


Regarding the banks, all this would mean that they go back to their real 
job, which is to protect funds and to finance the economy.



Le 23/05/2016 à 13:06, Adrian Hope-Bailie a écrit :
> I think that Frederic is correct that banks will take less interest in 
> payments but that doesn't mean they won't still hold accounts. They 
> will expose those accounts via APIs and the consumer facing products 
> that initiate payments will be non-bank.
>
> i.e. Nobody will have their salary paid into their Facebook account 
> but they will allow Facebook to initiate transactions on their account 
> (within well defined limits).
>
> The Open Bank API is already running (and integrated to a number of 
> German banks) and has code available under AGPL.
> It's not a stretch to imagine this (or something similar) as the basis 
> for PSD2 APIs
>
> On 23 May 2016 at 06:48, Anders Rundgren 
> <anders.rundgren.net@gmail.com <mailto:anders.rundgren.net@gmail.com>> 
> wrote:
>
>     On 2016-05-22 23:03, Frédéric Meignien wrote:
>
>         This paper understates the impacts.
>         The future is : banks going out of the payment market,
>         voluntarily or
>         not, and many types of new actors coming on the scene.
>         That is why, in our work, we must keep an eye on how the API
>         reconfigures the roles of all the actors.
>
>
>     Since there is a certain inertia involved, consumers may not necessary
>     want to have their main account (where their salary lands) in Facebook
>     but one can imagine that they setup an auto-transfer link to a payment
>     provider that offers better conditions (interests, bonus) as well as
>     new options for using and receiving money.
>
>     A remaining issue is still how to define such APIs unless we are
>     talking about a super-provider that effectively sets the standard for
>     everybody else.  SEPA took a virtual eternity to develop so a set of
>     "next generation" providers must (in order to get anywhere) come up
>     with a MUCH better collaboration method.
>
>     If I were involved in such an endeavor I would consider an open source
>     reference system as well as free public servers for
>     interoperability testing.
>     This will still not guarantee success and funding common work by
>     competitors
>     has proven to be extremely difficult so from my horizon the
>     super-provider
>     solution unfortunately looks way more realistic than new fancy
>     APIs :-(
>
>     Anders
>
>
>
>         Fred
>
>         Le 22/05/2016 18:52, Anders Rundgren a écrit :
>
>             http://www.chyp.com/post-competition-and-banking-in-a-post-psd2-world/
>
>             I find the Facebook scenario truly fascinating.
>
>             A question that comes to my mind is if it is really
>             necessary that
>             every social media site becomes a PISP in order to achieve
>             this kind
>             of functionality.
>
>             Anders
>
>
>
>
>
>