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- PSR Issues Final Guidance On APP Scams And Civil Disputes
- FCA Revokes PayAfrique.com's Licence Registration
- Trustly's Ecospend Retains Key Open Banking Contract With HMRC
- UK Regulator Releases Updated Powers And Procedures Guidance
- Swiss Regulator Confiscates $15m From Mirabaud & Cie For 'Serious' AML Failures
PSR Issues Final Guidance On APP Scams And Civil Disputes
The UK's Payment Systems Regulator (PSR) has released final guidance to help payment service providers (PSPs) distinguish between authorised push payment (APP) scams and private civil disputes.
This guidance, effective from September 2024, is intended to clarify when claims are not reimbursable under Faster Payments and CHAPS reimbursement rules.
According to the guidance, civil disputes, which often arise when consumers do not receive goods or services or find them defective, are not reimbursable unless there is intent to defraud, and the PSR has urged PSPs to carefully assess each claim, considering factors such as the communication between the consumer and the alleged scammer, and the latter’s ability to deliver services or goods.
The PSR has used the final guidance to place emphasis on the importance of evaluating each case on its merits, ensuring that claims are not misidentified, which it warns could harm both consumers and legitimate businesses.
The guidance also outlines core principles and expectations for PSPs to gather and review all relevant information before making decisions on claims.
FCA Revokes PayAfrique.com's Licence Registration
The UK’s Financial Conduct Authority (FCA) has revoked PayAfrique.com Limited’s registration as a Small Payment Institution (SPI) under the UK’s Payment Services Regulations 2017.
The decision, announced on September 20, 2024, was made to protect consumer interests after the firm failed to submit mandatory regulatory returns for 2022 and 2023 despite multiple requests and warnings.
Previously, the FCA had issued a decision notice in June 2024, which went uncontested by PayAfrique.com.
The formal cancellation, effective from September 19, 2024, follows the company's failure to comply with regulatory obligations and a lack of evidence that it had provided payment services in the past 12 months.
Trustly's Ecospend Retains Key Open Banking Contract With HMRC
Ecospend, a subsidiary of Trustly, has retained its open banking contract with the UK's HM Revenue & Customs (HMRC).
Under the re-awarded contract, one of the UK’s most significant open banking contracts to date, Ecospend will continue to provide its account-to-account (A2A) payment services.
These services allow HMRC to process payments across more than 40 tax regimes, including self-assessment, PAYE, corporation tax and VAT.
“As open banking payments require minimal manual data entry and are sent directly from a taxpayer’s bank account using pre-filled HMRC account details, the solution significantly improves payment reconciliation,” said Trustly.
“This means that in addition to cost savings, faster-speeds, and less human error, it is proven to significantly reduce the need for suspense accounts for incoming payments.”
Ecospend won the original contract in 2021, prior to its 2022 acquisition by Trustly. It has since become the single biggest use case for open banking payments in the UK, with £30bn of tax payments processed since launch.
UK Regulator Releases Updated Powers And Procedures Guidance
The UK's Payment Systems Regulator (PSR) has published an updated version of its Powers and Procedures Guidance (PPG), which is effective from September 20.
This revised document outlines how the PSR will exercise its powers and operate going forward.
Originally introduced in 2015 before being revised in 2020, this latest update reflects structural changes and process improvements within the organisation.
Key changes include greater flexibility in deciding who can open enforcement cases, which is expected to improve efficiency while maintaining proper oversight. Additionally, the new guidelines allow for more adaptable resource allocation within enforcement teams, ensuring faster response times and case resolutions.
The PSR has said that it is also reviewing its other guidance documents to ensure alignment with the updated PPG and may seek further consultations in the future if needed.
Swiss Regulator Confiscates $15m From Mirabaud & Cie For 'Serious' AML Failures
The Swiss Financial Market Supervisory Authority (FINMA) has confiscated CHF12.7m ($15m) from local bank Mirabaud & Cie following “serious” violations of anti-money laundering (AML) and financial market law.
In June 2023, FINMA concluded enforcement proceedings against the bank that it had opened in June 2021.
The regulator found that Mirabaud & Cie failed to review and sufficiently document the economic background of client relationships and transactions.
Since 2016, Swiss financial intermediaries have been required to clarify the background and purpose of a transaction or business relationship, if there are indications that assets could originate from crime or tax avoidance.
The bank may not accept any new clients with increased money laundering risks until compliance with the law has been restored, FINMA said.
The ruling has been legally binding since August 2023 and has not been contested.
