LUXHUB press release – 27/07/2020
Law of 25 March 2020 established a central electronic data retrieval system (CEDRS) related to payment and bank accounts identified by IBAN, as well as safe-deposit boxes, held by credit institutions in Luxembourg.
In accordance with the CSSF Circular 20/747, credit institutions are required to put in place a secure data file transfer via API towards the CSSF to enable the identification of any natural or legal person holding or controlling payment or bank accounts identified by IBAN or safe-deposit boxes by mid-September 2020.
The Luxembourg banking ecosystem must ensure permanent, automated and confidential access for the CSSF to this data file.
With tight EU-wide deadlines, as part of the AML5 directive – which is partially implemented through the CEDRS – LUXHUB is deploying all its efforts and resources in order to support banks throughout this new compliance journey.
This has resulted in the development of the new CEDR API, which builds upon LUXHUB’s established API Gateway and Service Desk. Furthermore, the CSSF’s decision to impose an API route to compliance falls squarely within LUXHUB’s overarching vision of catalyzing and empowering digitalization within Luxembourg’s financial ecosystem.
Acting as a complete end-to-end compliance solution, the CEDR API will see the company – recognized as Europe’s 2nd largest Open Banking hub – continue its compliance partnership with many of Luxembourg’s leading financial institutions.
With efforts already firmly underway, LUXHUB’s CEDR API will provide partner institutions with a clear head start on their compliance path.
“LUXHUB’s CEDR API will enable financial institutions to meet the tight deadline imposed by the EU and gain compliance efficiently and effectively. We ensure security at the highest level and are ready to build upon the successful development and implementation of our API Gateway and Service Desk to deliver a seamless service and complete solution.” Jacques Pütz, CEO LUXHUB
LUXHUB is an ABBL fintech member and was founded by four ABBL’s members: Banque Raiffeisen, BGL BNP Paribas, POST Luxembourg and SPUERKEESS. Its purpose is to address the core challenges faced by banks and financial institutions during the initial phases of Open Finance. One of the key challenges is compliance, and in that context LUXHUB has developed a solution to support banks ensuring access for the CSSF to the data file transer via API.