Avaloq, an international fintech providing services and digital solutions to banks and wealth managers, announced on Thursday that 12 financial institutions have signed up with its second Payment Services Directive (PSD2) solution. Avaloq reported that it launched the service at the end of last year to help banks and wealth managers meet the requirements of, and capitalize on, PSD2 and the need to work seamlessly with third-party payment service providers.
“PSD2, which came into force in January 2018, regulates payment services and payment service providers throughout the European Economic Area. It means that third parties will be allowed to access bank client data and provide value-added payment and banking services if permitted to do so by bank clients. Under the implementation process, financial institutions have to offer their open Application Programming Interfaces (APIs) to third-party payment service providers six months before September 2019.”
While sharing more details about the solution, Thomas Beck, CTO at Avaloq, stated:
“Our PSD2 solutions have been designed to simplify the testing and implementation process for financial institutions, as well as to reduce time-to-market and increase security. As such, the implementation risks associated with such programmes are significantly decreased. Avaloq is serving some of the largest financial institutions in the region and expects continued demand for solutions that help with the IT and regulatory challenge they face.”
Paco Hauser, Regional Manager EMEA at Avaloq, went on to add: