商业新加坡4 things to know about the new Singapore Payment Institution License

1. MAS introduces the new Singapore Payment Institution License

Businesses are now required to apply Singapore Payment Institution License in order to carry out certain payment services. On 28 January 2020, 新加坡金融管理局 (MAS) announced the introduction of Singapore Payment Services Act with the aim of enhancing regulatory framework for payment services in Singapore. The main goal is to promote higher confidence in overall use of electronic payments while protecting the safety of consumers.

There are currently two types of Singapore Payment Institution Licenses: Standard Payment Institution License and Major Payment Institution License.

In the past, Singapore companies can conduct Stored Value Facility (SVF) and money remittance businesses while being license exempt. With the new regulations, it is mandatory for payment services businesses to attain the Payment Institution License. Existing Singapore SVF companies or money remittance companies will be able to apply for a one-year grace period from MAS to meet the additional requirements.

Failure to comply with the above will result in the individual being subject to a fine not exceeding SG$125,000 or imprisonment not exceeding 3 years or both.

New guidelines to be issued by Monetary Authority of Singapore

PSNO1: Notice to payment services providers (specified payment services) on prevention of money laundering and countering the financing of
terrorism 

PSNO1A: Notice on AML/CFT requirements to facilitate transition of existing stored value facility holders

PSN02: Notice to payment services providers (digital payment token service) on prevention of money laundering and countering the financing of
terrorism

PSN03: Notice on reporting of suspicious activities and incidents of fraud

PSN04: Notice on submission of regulatory returns

PSN04A: Notice on submission of statement of transactions and profit/loss

PSN05: Notice on technology risk management

PSN06: Notice on cyber hygiene

PSN07: Notice on conduct

PSN08: Notice on disclosures and communications

PSN09: Notice on administrative matters

FSG-G01: Guidelines on fit and proper criteria

2. Business activities allowed

Under the Singapore Payment Services Act, your business is required to secure Payment Institution License in order to provide payment services below. In Singapore, the Standard Payment Institution License is the most common and has less mandatory requirements as compared to the Major Payment Institution License.

支付机构牌照

任何人必须拥有有效的标准支付机构牌照，才能有权从事以下业务——

• 提供以下支付服务之一：

(i) 开户服务；

(ii) 国内汇款服务；

(iii) 跨境汇款服务；

(iv) 商户获取服务；

(v) 电子货币发行服务；

(vi) 数字支付令牌服务；或者

• 提供以下两种或两种以上的支付服务：

(i) 开户服务；

(ii) 国内汇款服务；

(iii) 跨境汇款服务；

(iv) 商户获取服务；

(v) 电子货币发行服务；

(vi) 数字支付令牌服务；

(vii) 货币兑换服务。

What types of payment services are included in the new Singapore Payment License?

Account issuance service: Payment services that issue payment accounts to users. Some examples include e-wallets or a credit card that is not issued by banks.

Domestic money transfer service: Payment services that allow users to conduct money remittance locally. Some examples include payment gateway services and payment kiosks.

Cross-border money transfer service: Payment services that allow users to conduct international money remittance in and out of Singapore.

Merchant acquisition service: Payment services which allows users to accept and process payments for merchants. Some examples include point-of-sale terminals or online payment gateways.

E-money issuance service: Payment services which allows users to make payments to merchants or transfer funds to other individuals.

Digital payment token services: Payment services which allows users to buy or sell cryptocurrencies. This includes cryptocurrency wallets and cryptocurrency exchanges.

Money-changing service: Payment providers that allow users to physically exchange currency notes. This includes money changers in Singapore.

临界点

标准支付机构牌照的门槛为：

• 任何支付服务（电子货币账户发行和货币兑换服务除外）的每月交易额为 300 万新元。
• 两项或多项支付服务（电子货币账户发行和货币兑换服务除外）的每月交易额为 600 万新元。
• 每日 500 万新元的未偿电子货币

Do note that MAS will require applicants to describe the monitoring measures that will be taken to ensure your business does not exceed these thresholds.

主要支付机构牌照

• If your business exceeds the above-mentioned threshold, you will be required to apply for a Major Payment Institution License. By applying for a 主要支付机构牌照, your business will be subject to additional requirements. It is mandatory for Major Payment Institutions to maintain a security deposit with the Monetary Authority of Singapore.
• If the monthly average of payment transactions for any one payment service does not exceed S$6 million, the security deposit will be S$100,000. If your business exceeds this threshold, the security deposit will be increased to S$200,000. Applicants can choose to maintain the security deposit as a cash deposit with MAS or as a bank guarantee.
• Holders of Major Payment Institution License are subject to safeguarding of funds. This can take the form of undertaking/ guarantee or trust account.

3. Mandatory requirements of Singapore Payment Institution License

For both Payment Institution Licenses, you are required to meet the following requirements:

• The application must be submitted by a company registered in Singapore or a foreign branch registered in Singapore. See this 此网页 on the steps required to establish a Singapore company within 1 week.
• 您需要有当地的注册办公室地址或实体办公室。
• The minimum paid-up capital for Standard Payment Institution License is S$100,000 while that of Major Payment Institution License is S$250,000. This is also known as the base capital.
• 您的董事会应包括：
  • 至少一名执行董事是新加坡公民或新加坡永久居民，或
  • 至少 1 名新加坡公民或新加坡永久居民的非执行董事和至少 1 名持有新加坡就业准证的执行董事。

• Appoint external auditor annually to carry out an audit of the transactions in relation to the payment services and submit the audited report to MAS.
• You are also required to prepare an array of corporate documents prior to license application submission. Some of these documents include AML/CFT policies and procedures, technology risk management policies, cyber hygiene procedures and cyber security protocols.

4. Admission criteria

新加坡金融管理局 (MAS) 表示，他们将在评估标准支付机构牌照的颁发时考虑以下标准。

• 控制者和董事的适当性和适当性。
• 治理结构。
• 资格和经验，特别是在运营支付服务业务和遵守监管要求方面。
• 财务状况和业绩记录。
• 商业计划和模式，包括运营准备。
• 能够遵守 PS 法案规定的义务，包括合规、技术风险管理和审计安排。
• 其他司法管辖区的监管状况（如适用）。
• 对于拥有控股公司的申请人，承诺在新加坡开展业务。
• 授予许可是否符合公共利益。

How to apply for Singapore Payment Institution License?

Tetra Consultants expects to register your Singapore company, open local corporate bank account and secure Standard Payment Institution License within 4 months. 现在联系我们 to find out more about how to secure Singapore Standard Payment Institution License.