HomeInsightsPhone-Paid Services Authority launches six-month exemption pilot to help providers grow operator billing


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The new pilot announced by the PSA is a new 6-month pilot that would allow some Level 2 merchants to be exempt from registration with the PSA where they provide phone-paid services through one payment aggregator only (Level 1). The new pilot is intended to make it easier for Level 1 providers to “on-board” clients that may want to use operator billing as a payment option, amongst others. In other words, the PSA says, operator billing should be easier to implement, allowing the industry to attract new merchants who may not be familiar with the payment method. The PSA says that the approach builds on and learns from the PSA’s previous app store scheme.

However, the PSA says, this should not come at the expense of consumers. The exemption is based on Level 2 providers operating exclusively through Level 1s who have been pre-approved to take part in the pilot. The PSA explains that this is to ensure that anyone participating in the pilot can demonstrate they are achieving their Code obligations through other means. Participation is also dependent on Level 1s having a good compliance record.

The pilot will run from 4 September 2017. Interested parties should read the PSA Notification and contact the compliance team for further information.

It should be noted that participation in the pilot is subject to Level 1s applying to take part. To read the PSA’s blog post in full and for a link to the PSA Notification, click here.