PROCEDURES FOR ESTABLISHING PAYMENT INTERMEDIARY SERVICES COMPANY

Investors want to establish a company that provides the payment intermediary services must follow these following conditions:

  1. The organizations not being banks that wish to provide payment intermediary services must satisfy the following requirements:

    (Article 16 Decree 101/2012/ND-CP)

  • Having an establishment license or enterprise registration certificate issued by a competent authority;
  • Have the plan for provision of intermediary payment services which must be approved by a competent authority as defined in its Charter and contain, inter alia, the following: (i) The process of technical operations of the intermediary payment service for which the application for license is submitted, including:  Name and scope of the service, target customers, conditions for using service, diagram and description of steps of the operation, cash flow from the beginning of the service to the finalization of obligations between related parties; (ii) The mechanism for ensuring the solvency, including:  The mechanism for opening and maintaining balance on the payment guarantee account, and purposes of the payment guarantee account; (iii) The process of internal inspection and control; risk management, security and confidentiality protection; general rules and internal regulations on anti-money laundering; process and procedures for response to trace requests, complaints and denunciations;
  • Having at least 50 billion VND of charter capital;
  • Personnel requirements:  The legal representative, General Director (or Director) of the organization applying for the license must possess a bachelor’s degree or higher or have at least 03 years of experience in one of the following areas, business administration, economics, finance, banking or law;

Deputy General Director (or Deputy Director) and holders of other key positions in the Plan for provision of intermediary payment services (including heads of departments (divisions) or holders of equivalent positions, and technicians) must possess associate degree or higher in economics, finance, banking, information technology or the area related to their in-charge professional positions;

  • Technical requirements: There are facilities and technical infrastructure, information technology system and technology solutions that satisfy the requirements for provision of payment intermediary services; back-up technical system independent from the primary system that ensures the safe and continuous service provision when the primary system has problems and in accordance with regulations on safety and security of information technology system in banking operations;
  • With regard to the financial switching, clearing services, the service provider must have the payment between relevant parties settled by another service provider.
  • With regard to payment services provided for a customer holding accounts in multiple banks, the service provider must associate with a provider of switching and clearing services licensed by the State Bank to provide such services during the process of intermediary payment services;
  1. The dossier of application for the Licenses to provide payment intermediary services includes:

  • The written application for the License according to the form provided by the State bank;
  • The Record or the Resolution of the Member assembly meeting, the Board of Directors meeting (or shareholder meeting as prescribed in the Charter of the organization) that pass the scheme for the provision of payment intermediary services;
  • The scheme for the provision of payment intermediary services;
  • The description of technical solution and the written acceptance of technical experiment with another organization;
  • The documents on personnel: Curricula vitae, authenticated copies or copies issued according to master register or copies with the presentation of originals for collation of the qualifications proving the capability and proficiency of the legal representative, General Director (Director), Deputy General Director (Deputy Director) and the senior officers that execute the Scheme for the provision of payment intermediary services;
  • The establishment license or the enterprise registration certificate issued by a competent authority, charter of organization and operation (authenticated copies or copies issued according to master register or copies with the presentation of originals for collation).”

 

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Related:

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  2. Procedures for termination of foreign representative office in Vietnam
  3. Investment bank account
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