The Instant Payments Regulation (“IPR”), which was adopted by the European Parliament and the Council on 13 March 2024, is aimed at accelerating the roll-out of instant payments in Europe and covers credit transfers denominated in euros within the European Union. It amends the Single Euro Payments Area (SEPA) Regulation and adds specific provisions on instant credit transfers in euro to the Regulation on cross-border payments in the EU, the Settlement Finality Directive (SFD) and the Payment Services Directive (PSD2). As we approach the 9 January 2025 implementation deadline, certain payment service providers (PSPs) must implement key measures to ensure compliance.
🔑 Key highlights of the regulation include:
1. Mandatory offering of instant credit transfer services in euros for PSPs already providing traditional credit transfer services;
2. Pricing parity between instant and traditional credit transfer;
3. Verification of the payee to whom the payor intends to send the credit transfer to reduce errors; and
4. Simplified sanctions screening.
💼 These changes present opportunities but also significant challenges for compliance, operations, and system upgrades.
As a law firm specialising in payments, we can help you:
1. Understand your regulatory obligations.
2. Design a roadmap for seamless compliance.
3. Assist you in addressing legal, technical, and operational complexities.
💡 Let’s turn compliance into a strategic advantage and position your business for success in this evolving payments landscape.
📩 Connect with us at lawfirm@dalir.co.uk to explore how we can support your Instant Payments journey!
