EPIF is delighted to share with you its response to the EBA Consultation on the Guidelines on Limited Network Exclusions under PSD2.
EPIF welcomes the opportunity to reply to this consultation. We strongly support the limited network exclusion (LNE) and agree that there is a need for clearer guidance regarding the scope of the LNE. The wording of the LNE as drafted in PSD2 has, understandably, caused confusion across EU regulators and businesses, resulting in parties making legitimate but diverse interpretations of its scope The LNE under PSD2 creates an important distinction between regulated payment activities and activities that are rightly excluded from certain requirements. It is vital for regulators, the industry, firms and consumers that the rules continue to draw this distinction appropriately.
While we support some of the proposed guidelines, we believe that the EBA should reconsider its approach in relation to certain Guidelines to ensure (i) a level playing field across issuers that operate physical locations and those that operate online; (ii) legal certainty and consistent application of the guidelines across the EEA to promote harmonization while supporting innovation; (iii) appropriate customer protection.