Directive 2015/2366 on payment services in the internal market, repeals Directive 2007/64/EC on payment services in the internal market (PSD I).
The principal aim of PSD I, adopted in 2007, was to regulate the payments industry and to enhance consumer protection. However, PSD I was not an accurate reflection of how some payment methods operate, and its application was not always clear. The European Commission was concerned that many Payment Services Providers (PSPs) have escaped regulation under PSD I and, also due to the rapid technological changes in this sector, proposed a second version of this Directive.
PSD II has entered into force twenty days after its publication, i.e., on 13 January 2016 and should be transposed into national law by all Member States (including Malta) two years after the date of entry into force, i.e., 13 January 2018.