The second Payment Services Directive of the EU - what is it?

PSD2, which took effect in September 2019, is the second Payment Services Directive of the European Union. Under the new directive, banks may require strong customer authentication with online banking credentials for payment transactions on the HSL app. The objective is to make online payments more secure.

PSD2 applies to all digital payment transactions within the EU. Strong authentication may be required for all mobile and online payment transactions. This allows your bank to confirm that it is you using your payment card.

Your bank decides when strong customer authentication is required.

What does this mean for the HSL app?

Your bank may require strong authentication, for example, in the following cases:

  • You buy a single, day or season ticket
  • You add a new payment method or new payment card details
  • You change your auto-renewing subscription or the price of your auto-renewing subscription or auto-renewing saver subscription changes

Different banks have different methods for strong authentication. These include, for example, PIN code apps, codes sent by SMS or use of online banking credentials.

The Payment Services Directive does not apply to purchases made using the HSL app paid by mobile payment, i.e. purchases charged to your phone bill. Moreover, the directive does not apply to card payments outside the EU.