On 1 April 2017, the EBA’ s Guidelines on the Security of Internet Payments and the Financial and Capital Market Commission’s Regulations on Enhancement of the Security of Internet Payments will become binding upon the financial market participants. The Guidelines and the Regulations have been issued to strengthen requirements for the security of internet payments. In view of sky-rocketing technological advances, customer-favoured tendencies to use remote banking services, growth of IT security threats and in order to enhance the security of internet payments, the financial market participants are required to use two-factor authentication (2FA) when conducting transactions in the Internet Banking and making card payments in the internet environment. The two-factor authentication is mandatory from 1 April 2017. Transactions in the Internet Banking Starting from1 April 2017, every single transaction in the Internet Banking must be validated by the unique code generated by DigiPass identifier or DigiPass for Mobile. The requirement applies whenever you: submit your payment order to transfer money to a private person’s or legal entity’s accounts held with Baltic International Bank (intra-bank transfers) or to other Latvian or foreign banks; submit your request for cash withdrawal; use payment import services to process payment packages; conduct currency-conversion operations; submit free-form notices/messages to Bank. Online card payments When making card payments online, the cardholders will be required to enter the SecureCode together with OTP (a one-time password) to validate the transaction at the online merchants who ask to verify the deal with additional authentication (MasterCard SecureCode or Verified by VISA). OTP will be loaded on the cardholder’s mobile phone as SMS. The 2FA requirement will take effect on 1 April 2017. Bank will send OTPs to mobile phone numbers registered with Bank for the purposes of sending card-transaction messages over SMS banking facility. If you are not a user of SMS banking facility or if you want to provide other mobile phone number, please send (in the Internet Banking environment) your free-form message and indicate the number for receiving OTP. The deadline: 30 March 2017. Please contact your private banker if you need further clarification.