Licence types · Payments

Payment institution (PI)

Provide payment services such as transfers, acquiring and money remittance.

Payment institutions provide payment services defined in PSD2 (or national equivalents). They cannot issue e-money or take deposits. EU initial capital ranges from EUR 20,000 (money remittance only) to EUR 125,000 depending on services.

By jurisdiction

🇪🇺 European Union (passportable regimes)

EU payment institution

Regulator: European Banking Authority (EBA)
Permitted activities: Payment services listed in PSD2 Annex I (e.g. account services, transfers, acquiring, money remittance, payment initiation).
Minimum capital: EUR 20,000 (money remittance only), EUR 50,000 (payment initiation only), EUR 125,000 (other services) — PSD2 Art. 7.
Ownership, management & substance: Head office in authorising member state.
Application procedure: Application to national competent authority; EBA guidelines on authorisation information apply.
Government fees: Varies by member state — Verification required
Indicative timeline: No reliable published estimate
Limitations: Cannot issue e-money or take deposits. PSD3/PSR reforms in progress.
Legal basis: Directive (EU) 2015/2366 (PSD2)

🇬🇧 United Kingdom

UK authorised payment institution

Regulator: Financial Conduct Authority (FCA)
Permitted activities: Payment services under PSRs 2017.
Minimum capital: EUR 20,000 / 50,000 / 125,000 equivalent depending on services.
Ownership, management & substance: UK head office.
Application procedure: FCA Connect application.
Government fees: Verification required
Indicative timeline: No reliable published estimate
Limitations: Small payment institution registration available below thresholds.
Legal basis: Payment Services Regulations 2017

🇸🇬 Singapore

Major payment institution (PSA)

Regulator: Monetary Authority of Singapore (MAS)
Permitted activities: Account issuance, domestic and cross-border money transfer, merchant acquisition, e-money issuance, DPT services, money-changing — above thresholds.
Minimum capital: Base capital of S$250,000 (major payment institution) — confirm with MAS.
Ownership, management & substance: Singapore-incorporated company or branch with a permanent place of business; at least one executive director resident in Singapore.
Application procedure: Application via MAS online portal.
Government fees: Verification required
Indicative timeline: No reliable published estimate
Limitations: DPT services subject to additional consumer protection measures.
Legal basis: Payment Services Act 2019