Guideline 4: Limited range of goods or services under Article 3(k)(ii) of PSD2

4.1. Competent authorities should take into account that in order for the use of a specific payment instrument to be considered as limited for acquiring a very limited range of goods or services under Article 3(k)(ii) of PSD2, a functional connection between the goods and/or the services that can be acquired with the payment instrument should exist.

4.2. When assessing the functional connection between the goods and/or services, competent authorities should take into account that a specific category of goods and/or services with a common purpose has been identified by the issuer. Competent authorities should check whether the issuer has identified the goods and/or services falling within the specific category and whether it has described the functional connection between them in the notification under Article 37(2) of PSD2.

4.3. Competent authorities should take into account that a functional connection can exist between physical and digital goods and/or services.

4.4. Complementary to the assessment under Guidelines 4.1 and 4.2, competent authorities should take into account, based on the size and specificity of their market, all of the following additional indicators:

• a) The volume and value of payment transactions to be carried out with the payment instruments on an annual basis, as envisaged by the issuer;
• b) The maximum amount to be credited to the payment instruments, as envisaged by the issuer;
• c) The maximum number of payment instruments to be issued, as envisaged by the issuer; and
• d) The risks faced by the customer when using the specific payment instrument, as identified by the issuer. 4.5. Competent authorities should apply Guidelines 4.1, 4.2 and 4.4 in a restrictive way that does not allow for the possibility for a specific-purpose payment instrument to develop into a general-purpose payment instrument.

1. Overview

1.1 References

1.2 Identified Requirements

1.3 Related Standards

2. Identified Requirements

3. Related Standards

• EBA - Published by the European Banking Authority at https://www.eba.europa.eu/