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PSD2: safer online payments

No doubt you've recently seen a lot of reports in the press about a new European regulation for the finance sector called PSD2… If you're not sure what it is or how it affects you, read on!

What's PSD2?

Back in 2007, the European Union published the Payment Services Directive (PSD) aimed at creating a single market for payments within the EU. PSD2 is a continuation of that first directive, and it simply improves the security of online payments to protect European consumers against possible fraud.

Does the new legislation affect me when I shop online?

Yes, and a lot more than you think! Up until now, the security of online payments has relied on the verification of credit card details, for example by asking the consumer to enter a code received by text message. From now on, European banks and electronic merchants will use two-factor authentication to check that the consumer is who they say they are, for example by supplying:

  • a key word,
  • a fingerprint, or
  • a password that only they know.

At Vueling we're making preparations for this change, just as we did with the General Data Protection Regulation. The new legislation will enable you to book your flights more easily as well as more safely. Watch this space for more information!

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