Major Payment Institution License Application
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Licensing for Payment Service Providers
Major Payment Institution License (MPI)
An MPI licence allows you to provide multiple payment services without being limited by S$3M for any payment services and S$6M monthly for two or more payment services or the S$5M daily e-money float threshold.
Activity or Business Type
MPI Licence Criteria You must Meet
MAS Key Factors for Approval
Processing Time and License Fees
Activities and Business Types under Major Payment Institution Licence
Account Issuance Service
Provides users with accounts for storing funds, making payments, or accessing other payment services securely.
Cross-border Money Transfer Service
Enables secure and regulated transfer of funds between Singapore and overseas individuals or business accounts.
Digital Payment Token Service
Facilitates the buying, selling, or exchange of cryptocurrencies or digital payment tokens within legal frameworks.
Domestic Money Transfer Service
Allows fund transfers between individuals or businesses within Singapore through various digital payment methods.
E-money Issuance Service
Issues and manages stored electronic value for users to make payments via digital platforms or wallets.
Merchant Acquisition Service
Processes payments on behalf of merchants, including handling card transactions and settling funds into accounts.
Money-changing Service
Involves buying or selling foreign currencies in cash for personal travel or business-related purposes.
Criteria You must Meet to Obtain a MPI License
Be a Singapore-incorporated company or a Singapore branch of a foreign corporation.
Maintain a permanent business location or registered office to securely hold books and records.
Have at least one person present at the business location or office to handle consumer queries or complaints.
Maintain a minimum base capital of S$250,000.
Hold sufficient capital buffer beyond the base requirement, considering operational scale, scope, and potential profits or losses.
Have at least one executive director who is either a Singapore Citizen, Permanent Resident, or an Employment Pass holder, plus another director who is a Singapore Citizen or Permanent Resident.
Key Factors Considered Applying for an MPI License Application
Fitness and Propriety:
Controllers and directors must meet the Guidelines on Fit and Proper Criteria [FSG-G01].Competency of Key Individuals:
Sufficient experience in payment services or related financial industries is required.Security:
S$100,000 security for monthly transactions ≤ S$6 million on average.
S$200,000 security for all other cases.
Security must be a cash deposit with MAS or bank guarantee.
Compliance Arrangements:
Plans must match the business’s nature, scale, and complexity.
(Refer to Appendix 2 of the Guidelines on Licensing for details.)Technology Risk Management:
Online financial services require penetration testing and remediation of all high-risk findings before licensing.Audit Arrangements:
Adequate independent audit plans matching business size and complexity must be in place.Annual Audit Requirements:
Plans to meet Section 37 of the PS Act audit requirements, with auditor appointed at your expense.Letter of Responsibility and Letter of Undertaking:
MAS may require these from majority shareholders, parent or related companies as appropriate.
The Application Fee and the Processing Time
- the Application Fee: Under Section 10 of the PS Act, licence fees are paid annually based on licence type and payment services. Multiple services incur combined fees, except some account issuance cases. Fees are non-refundable and detailed in the PSR Schedule. Payment is via GIRO, which must be kept updated with sufficient funds. New licensees or those adding services pay pro-rated fees from issue date to year-end. Annual fees for added services are added to existing fees thereafter.
- the Processing Time: Applicants should allow 4–6 weeks to prepare the Major Payment Institution License form. MAS typically reviews complete applications within four months, but complex or incomplete submissions may face delays. Working with experts like us can help ensure accuracy and clarity, speeding up the approval process.
Why choose us
Support for MPI Licence Readiness and Success
Comprehensive Guidance and Expert Assistance to Ensure Your Major Payment Institution Licence Application Is Successful and Timely
Understand Regulatory Requirements
Thoroughly review MAS guidelines to ensure your business model complies with all regulatory and licensing conditions for MPI.
Prepare Accurate Documentation
Complete all application forms carefully with precise and truthful information to avoid delays or rejections from MAS.
Demonstrate Financial Stability
Maintain required base capital and sufficient financial buffers aligned with your business scale and potential risks.
Ensure Key Personnel Competency
Appoint directors and controllers with relevant experience and fit-and-proper status as defined by MAS guidelines.
Implement Strong Compliance Framework
Develop compliance policies and procedures tailored to your business complexity to meet MAS regulatory standards.
Establish Robust Security Measures
Provide required security deposits or bank guarantees and ensure adequate technology risk management protocols.
Plan for Operational Readiness
Show readiness to manage daily operations, including audit arrangements and consumer query handling at your business location.
Engage Expert Support
Work with experienced consultants or legal advisors to streamline your application and address regulatory complexities effectively.
