Internet retail is growing rapidly. E-commerce revenues in the German B2C segment have increased almost fivefold in the past 10 years, which is why online payments are becoming even more important. The success of payment services such as PayPal is largely due to their user-friendliness. Customers are no longer required to enter complicated IBANs, PANs, TANs, BICs, or online banking log-in details, but merely have to remember their email address/username and a password of their choice. A stored biometric identifier can be used instead of a password on mobile devices with a corresponding security element, although providers such as PayPal and Amazon Pay charge a very high price for this level of simplicity. Whereas an incoming payment by bank transfer usually only costs retailers a few cents and payments made on the customer’s credit card generally no more than 90 basis points since the enactment of the MIF Regulation, a PayPal transaction costs retailers (especially smaller ones) up to 1.9% of revenue and fixed costs of at least 35 cents. However, retailers often put up with these costs in order to boost their conversion rate and thus stop as many eager-to-buy customers as possible from abandoning the process at the checkout.
Just like the Minimum Requirements for Risk Management (MaRisk) applicable to banks , the latest version of which BaFin published in late October, BAIT also interprets the legal requirements of Sect. 25 (1) Clause 3 (4) and (5) of the German Credit Act (Kreditwesengesetz).
Following the implementation of the Basel Standard 239 (BCBS 239) in AT 4.3.4, the requirements concerning data aggregation and risk reporting for system-relevant credit institutions have now also been included in the Minimum Requirements for Risk Management (MaRisk).