Operating licences of payment institutions

Only those who have a licence to do so are authorised to provide a payment service, according to Act no. 114/2021 on Payment Services. According to Point 23 of Article 3 of the Act, only the following parties are permitted to provide payment services:

• Financial undertakings with authorisations to receive deposits or other repayable funds from the public and grant loans.
  
• Electronic money institutions.
  
• Post office giro institutions that are authorised to provide payment services under national law.
  
• Payment institutions.
  
• The European Central Bank and central banks of member states of the European Economic Area.
  
• Government authorities if the payment services are not related to their role.
  
• Payment institutions with a limited operating licence.
  
• Certain legal entities and individuals that have been granted exemptions, pursuant to Article 35 of the Act.
  

What is considered a payment service?

Payment services according to Point 22 of Article 3 of the Act are considered to be:

• Services enabling cash to be deposited to a payment account as well as all
  operations required for operating a payment account.
  
• Services enabling cash withdrawals from a payment account as well as all operations required for operating a payment account.
  
• Execution of payment transactions, including transfers of funds into and out of a payment account with the user's payment service provider or with another payment service provider:
  
  • execution of direct debits, including one-off direct debits,
  • execution of payment transactions using a payment card or similar device, and
    
  • execution of credit transfers, including standing orders.
    
• Execution of payments if funds are secured by a credit line for a payment service user:
  
  • Execution of direct debits, including one-off direct debits,
    
  • execution of payment transactions using a payment card or similar device, and
    
  • execution of credit transfers, including standing orders.
    
• Issuing and/or acquiring of payment instruments.
  
• Money remittance.
  
• Payment initiation.
  
• Account information services.
  

Application and processing of operating licences for payment institutions

An application for a licence to operate as a payment institution shall be in writing and be accompanied by specified information. The Central Bank has prepared an overview of the information which it requires to be attached to an application.

The Central Bank supervises the parties that provide payment services according to the Act on Payment Services. On the basis of the above, the Central Bank has issued Rules no. 88/2020  on the safekeeping of funds received by a payment institution.

Eligibility assessment of members of the board of directors and managing director of payment institutions

In parallel with the processing of an application for an operating licence as a payment institution, the Central Bank shall examine the assessment of the eligibility of the members of the board of directors and managing director of the institution, pursuant to Article 11 of the Act on Payment Services, cf. Articles 52 and 52(a) of the Act on Financial Undertakings.

Qualifying holding

In parallel with the processing of an application for an operating licence for a payment institution, the Central Bank may have to assess whether the shareholders are qualified to hold a qualifying holding, pursuant to Article 5 of the Act on Payment Services, cf. Chapter VI of the Act on Financial Undertakings. Further information on the assessment .