The PSD is a new piece of EU legislation designed to harmonise the laws relating to payment services across Europe.
The PSD applies across the European Economic Area (EEA). The member states within the EEA are as follows:
Austria, Belgium, Bulgaria, Cyprus, Czech Republic, Denmark, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, Ireland, Italy, Latvia, Liechtenstein, Lithuania, Luxembourg, Malta, The Netherlands, Norway, Poland, Portugal, Romania, Slovakia, Slovenia, Spain, Sweden, United Kingdom.
Please note that Guernsey, the Isle of Man, Jersey, Monaco and Switzerland are outside the EEA so that the PSD will not apply in those countries.
Each country in the EEA has to implement the PSD into its own law.
In Ireland it was passed into Irish Legislation by the Minister for Finance as The European Communities (Payment Services) Regulations 2009 on 29 September 2009 and is effective from 1st November 2009.
It applies to payments within the EEA in euro and other EEA currencies. It applies to most types of payments, including electronic money transfers, cash deposits, cash withdrawals, direct debits, standing orders and credit and debit card transactions. It does not apply to paper-based payments such as cheques and banker's drafts.
It applies to both domestic and cross-border payments, the person sending the payment and the person receiving the payment must both be within the EEA.
It applies to payment accounts. These are accounts into which and from which customers can make regular payments (such as current accounts and easy access savings accounts).
Yes, it also applies to the use of cards (such as credit and debit cards), and other payment services (such as telephone and internet banking) that enable customers to make payments to which the Legislation applies.
All institutions that provide payment services ("payment service providers") need to comply with the Legislation. This includes banks and building societies as well as other institutions (for example money remitters that do not hold deposit accounts).
We have updated our Terms and Conditions to reflect the requirements of as The European Communities (Payment Services) Regulations 2009 A copy of our new Terms and Conditions are available by emailing us (can we put in email address).
The benefits include certainty and consistency of execution time, availability of funds and value date across the EEA. It also includes increased clarity on rates and charges, and harmonised protection across the EEA if payments have not been properly authorised or executed correctly.
The Payments Services Directive defines the information which Banks and Financial Institutions have to provide to customers when making or receiving a payment. Principally we will be making alterations to the balance and transaction reporting functions in HSBCnet to provide this additional information where this is not provided today. Some examples of this are the provision of "click through" Debit advices. From the 1st of November these will now be available for 35 days.
It will now become mandatory for you to use BIC and IBAN in the EU when making a payment. Failure to include the correct information will result in you being charged a higher fee for making the payment as this payment will need to be repaired. Additionally for intra-EU payments you will no longer be able to select the OUR or BEN options for charges. All charges must be SHA. Our Priority payment screens within HSBCnet have been updated to reflect this.
We have tried to make the changes being implemented as unobtrusive as possible to minimise any further changes you will need to make.
HSBC Bank plc, trading as HSBC Corporate & HSBC Corporate Banking Ireland, is authorised and regulated by the Financial Services Authority in the UK and is regulated by the Central Bank of Ireland for conduct of business rules. HSBC Bank plc is registered in England No. 14259. Registered Office: 8 Canada Square,London, E14 5HQ, United Kingdom. The Irish branch is registered in Ireland. Registered Office: 1 Grand Canal Square, Grand Canal Harbour, Dublin 2. Registration number 904230.