EBA欧洲银行-EBA-response-to-the-EU-Commission-Green-Paper-on-Retail-Financial-Services-28COM-2015286302929_11页_270kb

EBA Response to the EU Commission Green Paper on Retail Financial Services

Core Content

The European Banking Authority (EBA) responded to the EU Commission's Green Paper on Retail Financial Services, focusing on several key areas: consumer protection in the context of digital technologies, enforcement quality across the EU, awareness of financial products, cross-border distribution, and the use of personal data.

Main Points and Key Information

Question 5: Digital Technologies and Consumer Protection Risks

• The EBA emphasizes that the Commission's approach to digital technologies should be technology-neutral, allowing for flexibility and evolution.
• A methodological approach is necessary, which includes:
  • Identifying and assessing benefits and risks of digital technologies.
  • Prioritizing risks to determine whether they require legislative action or can be addressed by market participants.
  • Ensuring that any policy response balances risk mitigation with the promotion of innovation.
  • Evaluating whether a harmonized EU approach is suitable for the technology in question.
  • Considering the existing EU legislation to avoid unnecessary duplication and ensure clarity.

Question 7: Quality of Enforcement and Consumer Trust

• The EBA interprets "quality of enforcement" as the effectiveness of supervision of firms and markets in complying with EU laws.
• Key issues include:
  • Differences in supervisory responsibilities across Member States, with some authorities having exclusive consumer protection mandates and others also handling prudential or competition-related tasks.
  • Fragmentation of regulations leads to regulatory gaps and arbitrage, undermining consumer trust and market integration.
  • The lack of harmonized Level-1 legislation creates complexity in supervisory responsibilities, especially in cases of passporting.
  • Ambiguity in EU legislation allows for varied national transpositions, which can weaken enforcement consistency.
  • The EBA suggests that the EU legislative framework may not be delivering expected levels of consumer protection, and calls for coherence and consistency in conduct rules and supervisory responsibilities.

Question 9: Awareness of Financial Products

• The EBA notes that while the Commission assumes lack of awareness is a barrier to cross-border transactions, evidence is limited.
• Digital innovations can spread across borders without public authority coordination, suggesting other factors (e.g., language, financial literacy) are more significant.
• The EBA does not advocate for direct involvement in product visibility, but supports a framework for private entities to provide structured, comprehensive, and accessible information.
• It also recommends that the Commission consider the use of personal data in product information and the sharing of data between providers.

Question 10: Facilitating Cross-Border Distribution

• The EBA suggests that intermediaries should have sufficient knowledge of national markets before distributing products cross-border.
• It also recommends the establishment of points of contact in host countries to build consumer trust.
• The EBA highlights additional risks such as tax and foreign exchange risks in cross-border transactions.
• The Commission should consider enhancing consumer awareness and ensuring clear information on foreign currency exposure and conversion costs.

Question 22: Supporting Innovation Across Europe

• Regulatory certainty is crucial for supporting financial innovation and ensuring consumer protection.
• The EBA recommends regular review of the regulatory perimeter to capture new activities.
• It suggests amending existing EU law where appropriate to address new risks, rather than creating new legislation.
• The EBA encourages the Commission to take inspiration from its guidelines on product oversight, which promote a level-playing field for all market participants.

Question 26: Use of Personal Data

• The EBA acknowledges the innovative use of consumer data by financial institutions, including combining internal and external data sources.
• While such use can enhance consumer engagement and competition, it also poses risks such as data misuse and loss of privacy.
• The EBA stresses the importance of consumer consent and proportionate protection.
• It is currently assessing the impact of these data practices and is ready to provide findings to the Commission.

Question 30: Practical Assistance for Cross-Border Sales

• The EBA highlights that non-standardized product terms and conditions may discourage migrants from engaging in financial activities in their new Member State.
• It calls for a thorough assessment of the barriers to cross-border sales, including supervisory challenges and consumer rights.
• The EBA suggests that one-stop shops or similar mechanisms may be useful, but no formal evaluation has been conducted yet.

Conclusion

The EBA advocates for a coherent and consistent EU legislative framework that supports innovation while ensuring consumer protection and trust. It emphasizes the need for harmonization, technology-neutral regulations, and clarity in enforcement. The EBA also calls for greater cooperation between authorities and the development of a supportive regulatory environment for cross-border financial services and data usage.