European Union: Published EBA Guidelines on the limited network exclusion under the Payment Services Directive (PSD2)

The European Banking Authority (EBA) has issued the Guidelines on the "limited network exclusion" under the EU Payment Services Directive (PSD2) (2015/2366/EU). The guidelines focus on the procedure that allows service providers to establish electronic money and payment services without having the license required by PSD2 since they qualify as "limited". The Guidelines specify how national authorities should evaluate whether service providers are not subject to such licence requirements. In particular, the exemption is permitted when the service provider: -allows the acquisition of products only in the premises of the issuer or within a limited network of service providers; or/and -can be used to acquire a very limited range of goods or services; or/and -operates only in one member state and is requested by a public sector entity for specific purposes.