Increased protection for consumers when paying invoices online

The Riksdag has voted in favour of the Government's proposal that the requirement for strong customer authentication for paying invoices online should be clarified and include invoice payments that constitute a payment service. In other words, in cases where there is a tripartite relationship between a trader, a buyer and an invoice issuer, meaning that a party other than the seller provides the credit. The purpose of this is to minimise the risk that consumers may become the victims of fraud in e-commerce.

Strong customer authentication means two-factor authentication, with a log-in and identification taking place in two stages or two factors. Examples of identification methods meeting these requirements are e-identification or a bank card reader.

The proposal also entails a transfer of responsibility from the point of view of commercial law for supervision of consumer credit institutions from the Swedish Consumer Agency to the Swedish Financial Supervisory Authority (Finansinspektionen). This may for example include compliance with the credit review requirement under the Consumer Credit Act, that is that the consumer’s repayment capacity is examined before credit is granted.

The amendments will come into force on 1 January 2023.