EU instant payment rules are going into effect. An X by the Financial Stability Financial Services and Capital Markets Union Directorate noted the rollout today, stating:
“Today our instant payments rules will gradually start to come into effect, allowing you to receive money in seconds anytime, anywhere in the EU, and at the same cost or cheaper than regular transfers.”
The odyssey to enable instant payments in the EU has been an extended process. The legislative proposal emerged in October 2022. At that time, the document explained:
“The proposal aims to ensure that instant payments in euro are affordable, secure, and processed without hindrance across the EU.
Instant payments allow people to transfer money at any time of any day within ten seconds. This is much faster compared to traditional credit transfers, which are received by payment service providers only during business hours and arrive at the payee’s account only by the following business day, which could take up to three calendar days.
This proposal aims to remove the barriers that prevent instant payments and their benefits to become more widespread.”
The European Parliament and the Council adopted the Instant Payments Regulation (IPR) on 13 March 2024.
While EU member states must receive instant payments today, non-Euro area member states have an additional two years, and e-money firms have until April 2027.
Sending instant payments by euro area member states is required by October 9, 2025. The timeline for instant payments is available here.