Stripe, Banks Tell Congress Payment Rules No Longer Fit Modern Commerce

Modern payment technology has outpaced the laws meant to govern it, and a major shift in regulation is brewing in Washington. Major fintech players like Stripe and traditional banks are currently lobbying Congress to overhaul outdated frameworks. For retailers and service providers, this signals a future where integrated financing and instant payments become even more embedded in your software stack. The core of the debate is about 'open banking' and how data should move between your customer’s bank and your checkout page. If new rules are passed, it will likely become easier for you to offer low-cost 'pay-by-bank' options and highly personalized financing at the point of sale. However, it also means a potential shift in liability. While the government wants to promote innovation and faster money movement, they are also looking closely at consumer protections. For business owners, this means the tools you use to collect payments are about to become more powerful, but the compliance requirements for the companies providing those tools may soon get much stricter. Keep an eye on the 'Personal Financial Data Rights' rule, as it will determine how much control you have over the customer data flowing through your payment gateway.

Source: PYMNTS

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