The Payment Accounts Act ensures that consumers legally resident in the European Economic Area have the right to open and use a payment account with basic features at credit institutions.
The Act also grants consumers the right to switching services. Switching services involve the transfer of funds or information relating to your payment account to or from Arion Bank from another payment service provider. The information transferred may, for example, relate to regular transfers of funds and recurring direct debits. Switching services may also include the transfer of all funds from one payment account to another.
A payment account must be opened with Arion Bank before switching services can be provided; this can be done electronically here or by visiting the nearest branch.
Consumers may request switching services from Arion Bank by sending a request to arionbanki@arionbanki.is. The following will then take place:
If you wish to transfer your payment account to Arion Bank, the Bank will obtain your consent, as it is necessary to collect information in connection with the switching service.
It is necessary to specify whether you wish the balance held in your payment account with the transferring payment service provider to be transferred to Arion Bank.
Within two business days of your consent, Arion Bank will request that the transferring payment service provider carry out certain tasks specified in your consent on the date you indicate. The switching date may be no earlier than twelve (12) business days after the date of the consumer’s consent.
Once the transferring payment service provider has provided the requested information, Arion Bank will, within five business days of receiving such information, carry out the following, if requested:
Set up forward payments and automatic payments.
Inform payers of the new payment account and the applicable switching date.
Notify recipients of direct debits, where applicable, of the transfer of the payment account. If no information about the payment recipient is provided, the Bank may request that the consumer supply such information. If the customer chooses to notify third parties of the new account number themselves, the Bank will provide them with a standard notification letter.
Once Arion Bank has received a request from the receiving payment service provider, it will carry out the requested tasks within five business days:
Provide the receiving payment service provider with the requested information regarding the regular transactions established by the customer.
Cancel forward payments and automatic payments, at the request of the consumer.
Transfer the balance from the specified account with Arion Bank to a payment account with the receiving payment service provider, at the request of the consumer.
Close the payment account with Arion Bank, at the request of the consumer.
The switching service is free of charge.
Details on how to submit complaints can be found in the general terms and conditions. In addition, consumers may refer disputes relating to the switching service to the Complaints Committee on Transactions with Financial Undertakings. Further information about the Committee can be found at nefndir.is.