PSD2 and SCA

The Second EU Payment Services Directive (PSD2) has been making internet payments safer since 14 September 2019, requiring a stronger Customer Authentication Procedure (SCA). Ever since you have to confirm your payments in an online shop with at least two factors. For example with a TAN plus a fingerprint in the online banking app of your house bank or with an additional TAN.

SCA (Strong Customer Authentification) is an European requirement to make online payments more secure. If you are making a payment within the EU, more than one authentications are required at the time of the transaction. SCA is based on the use of two or more of the following elements:

• Something that only the user knows (e.g. password, code, PIN).
• Something that only the user has (e.g. token, smart card, mobile phone).
• Something that the user is (e.g. biometric features, such as a fingerprint).

The reason why SCA must be adhered to in the case of Sofortüberweisung is because you as the payer:

1. access your payment account online;
2. initiate an electronic payment transaction;
3. carry out the operations online, i.e. via an external channel that poses an increased risk of fraud or other misuse.

You can always contact our customer service if you have any questions about Sofortüberweisung. Surely you have received information about PSD2 and SCA from your bank. If you have questions about the second authentication step of your house bank, please contact your bank directly.