The range of tasks in relation to banking supervision is very broad. The Financial Market Authority operates on two levels. While it is active as the national competent authority (NCA), since late 2014 it has also been working in close cooperation with the European Central Bank within the banking union.
As the term banking supervision already implies, credit institutions are the principle focus of its supervisory activities. However, since the Payment Services Act (ZaDiG – Zahlungsdienstegesetz) has entered into force the licencing and constant monitoring of payment institutions has also fallen under the auspices of the Department for Banking Supervision. This is an obvious step to have occurred since the requirements under supervisory law for payment institutions, while being somewhat less strict, are modelled strongly on those that apply for credit institutions.