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FCA proposes increase in UK contactless spending limit

Tuesday 2 February 2021 14:06 CET | News

The UK’s Financial Conduct Authority (FCA) have proposed to increase the limit for single contactless payments from GBP 45 to GBP 100 and the limit for cumulative contactless transactions from GBP 130 to GBP 20O.

The proposals are among those published in a new FCA consultation document concerning its regulatory technical standards (RTS) for SCA and common and secure methods of communication in the payments and e-money sectors.

The proposals include:

  • Adding a new exemption from SCA for when customers access their account information though an account information service provider (AISPs)

  • Mandating the use of dedicated interfaces (such as APIs) by account servicing payment service providers (ASPSPs) to facilitate third‑party provider (TPP) access to retail and SME customers’ payment accounts

  • Changing requirements for publishing interface technical specifications, availability of testing facilities and fallback mechanisms by account providers

  • Treating ASPSPs with deemed authorisation under TPR as exempt from the requirement to set up a fallback interface, where the ASPSP has an exemption from its home state competent authority

  • Increasing the single and cumulative transaction thresholds for contactless payments from £45 up to GBP 100 (or potentially a maximum of GBP 120) and from GBP 130 to GBP 200 respectively.

Consultation on the proposed increase in contactless spending limits will close on 24 February 2021 and on the remaining proposals on 30 April 2021.



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Keywords: FCA, Financial Conduct Authority, contactless payments, mobile payments, card payments, UK, Brexit
Categories: Payments & Commerce
Companies:
Countries: United Kingdom
This article is part of category

Payments & Commerce