ZuFinG II: New Regulations in the Payment Services Supervision Act (ZAG)

The ZAG reforms pursue clear objectives:

1. Increased Security: The changes ensure that customer funds are protected as best as possible both in normal business operations and in the event of insolvency.
2. Clear Legal Foundation: The new regulations create transparency and standardize the requirements for payment and e-money institutions.
3. Strengthening Consumer Confidence: Through comprehensive security measures, payment service users and e-money holders can rely on the protection of their funds.

§ 17: Safeguarding the Funds of Payment Service Users and E-Money Holders

The new regulations in § 17 of the ZAG focus on the various methods of safeguarding customer funds, providing additional clarity and protection.

Safeguarding Methods

• Deposit or Invest in Secure Liquid Assets: The received funds can be invested in low-risk and liquid assets that are legally considered the property of the customers.
• Trust Accounts: Customer funds can be deposited in separate accounts with a credit institution, the Deutsche Bundesbank, or a central bank of an EU member state.
• Insurance or Guarantee: Alternatively, insurance or a comparable guarantee from an independent insurance company or credit institution can be used.

The changes specify that the received funds of payment service users and e-money holders must be deposited in a separate account. This account must be set up in such a way that it is shielded from the claims of other creditors of the institution, especially in the event of insolvency.

The new regulations additionally strengthen the position of customers:

• Insolvency Security: The deposited funds or invested assets are considered the property of the customers in relation to other creditors, granting the customers the right to segregation (§ 47 InsO).
• Protection from Foreclosure: The funds are protected from enforcement by individual creditors (§ 771 ZPO).

These adjustments ensure that customer funds are secure regardless of the financial situation of the payment service provider or e-money institution.

§ 57a: Participation in Payment Systems

The introduction of § 57a establishes new requirements and rights for payment and e-money institutions in direct participation in payment systems.

Description of Investment Strategy

The new regulations require that all selected assets be secure, liquid, and low-risk. These requirements ensure that customer funds remain optimally protected.

Account Reconciliation Process

Payment institutions must demonstrate that customer funds are clearly secured in the event of insolvency. This strengthens the rights of customers and ensures greater transparency.

Declaration Obligation

Each institution must confirm that the requirements of § 17 are complied with. This creates an additional control instance and increases the traceability of protective measures.

Conclusion

With the changes in the ZAG by the ZuFinG II, a decisive step towards securing customer funds is made. The combination of detailed requirements for safeguarding methods and clearly defined legal protection mechanisms strengthens the position of consumers and creates a reliable foundation for payment service providers and e-money institutions.

The new regulations emphasize that the security of customer funds is a top priority. They give consumers the assurance that their funds are protected even in times of crisis and make Germany a more attractive financial location for payment service providers and customers alike. A strong signal for more trust and stability in payment transactions!