Payment cards enable payers to issue electronic payment orders, either via point-of-sale (POS) terminals, ATMs, or through remote channels. Payment cards are widely used in Europe and generally enable cardholders to execute transactions abroad.
The SEPA project relies on existing national and international card payment schemes and aims to strengthen their interoperability and their security.
In the SEPA project, card payments will adhere to the following principles:
- cardholders will be able to pay with a single card throughout the SEPA area, provided the brand of the card is accepted by merchants;
- merchants will be able to accept cards under the same conditions (in accordance with SEPA principles) irrespective of their country of issuance. They will continue to have discretion to decide which card schemes they choose to accept;
- card payments will use EMV technology and be most of the time authenticated using a PIN code;
- payment will be guaranteed according to the terms laid down by the card network.
SEPA-compliant payment cards will mainly be cards issued by banks. Issuers of store or loyalty cards (e.g. credit cards issued by specialised organisations) will also, should they wish to do so, be able to comply with SEPA principles.