Strong Customer Authentication under PSD3 and PSR and Financial Inclusion: Two Steps Forward or One Step Back? - European Business Law Review View Strong Customer Authentication under PSD3 and PSR and Financial Inclusion: Two Steps Forward or One Step Back? by - European Business Law Review Strong Customer Authentication under PSD3 and PSR and Financial Inclusion: Two Steps Forward or One Step Back? 36 5

This article examines whether access to payment services can be both secure and user-friendly, challenging the traditional trade-off between security and convenience. Rapid technological advancements over the past decade suggest that this balance may be achievable through innovative solutions. The study analyses the current application of strong customer authentication as mandated by PSD2, with a particular focus on its accessibility for disadvantaged user groups, including individuals affected by health conditions, age-related limitations, or social exclusion. It then compares this framework to the anticipated changes under PSD3 and PSR. The authors explore whether technological progress justifies shifting from the existing requirement of authentication using two distinct categories to a model allowing two different authentication instruments, regardless of category, as proposed by PSR. The analysis is based on both qualitative and quantitative research, drawing empirical data primarily from the Czech Republic’s payment services market.

European Business Law Review