The European Council has adopted a regulation that will make instant payments in euros available to consumers and businesses across the EU and EEA countries.
The new rules, agreed upon by the Council and the European Parliament last year, will enable individuals to transfer money within ten seconds at any time of day, even outside business hours, both domestically and across EU member states.
Payment service providers, such as banks that currently offer standard credit transfers in euros, will be required to provide the service of sending and receiving instant euro payments without any additional charges.
The implementation of these rules will occur in two stages: a shorter transition period for the euro area and a longer one for EEA countries.
This initiative will not only make instant euro payments universally accessible and affordable but will also enhance trust in these transactions, as providers will be mandated to verify the consistency between the IBAN and the beneficiary’s name supplied by the payer.
Furthermore, the regulations are intended to support European payment firms in competing with major players like Visa and Mastercard.
A statement emphasizes that “the new rules will improve the strategic autonomy of the European economic and financial sector by reducing excessive reliance on third-country financial institutions and infrastructures.”