What is an EMI license?

Electronic Money Institution (EMI) in the UK is allowed to issue and redeem electronic money. Electronic money Institution license is more suitable for a business wishing to have a possibility of retaining funds of their clients for a more extended period of time and offering products of stored value.

What is emi electronic money institution?

e-Money will be used to make payments for goods and services, bill payments, fund transfers and cash deposits and withdrawals from e-money accounts. EMI will take approval from SBP before offering any e- money products/services to customers including cross- border payments.

How do I become an electronic money institution?

Making an Application for the authorised EMI (e-money) license

1. A programme of operations.
2. A business plan including a forecast budget calculation for the first three financial years.
3. Evidence that you hold initial capital.
4. A description of the measures taken for safeguarding electronic money service users’ funds.

How does an electronic money institution work?

Electronic Money Institutions are companies that are licensed to provide financial services to third parties and store their funds on special segregated accounts. They allow opening an account quicker, with fewer documents and without the need to physically come to this institution.

Is Revolut an EMI?

From version 8.5 of the Revolut app, when joining Revolut, you will have a bank deposit account and an EMI (Electronic Money Institution) account.

What can you do with an EMI?

E-money institution (EMI) can issue electronic money (the digital equivalent of cash stored on an electronic device). EMI can do all the things the Payment Institution can do and is also is allowed to provide IBAN accounts, payment cards and e-wallets.

What do you mean by electronic money?

Electronic money (e-money) is broadly defined as an electronic store of monetary value on a technical device that may be widely used for making payments to entities other than the e-money issuer. The device acts as a prepaid bearer instrument which does not necessarily involve bank accounts in transactions.

How do electronic money institutions work?

What does an e-money license allow?

E-money license allows the issue of payment cards, e-wallets, and other payment instruments requiring storage of the client funds. After the UK left EU Lithuania became the No.

Is e-money a deposit?

The difference between e-money and deposits rests on their legal basis – deposits are based on lending contracts (Rubin 1975, Harker 2014) while e-money issuances involve sale agreements (Yurtiçiçek 2013), yet they both imply funds ownership transfer.

Is Revolut a licensed bank?

Although we do have a banking license, we’re not yet a full-fledged bank in the UK, but an e-money institution (fintech). We intend to acquire a UK banking license in the future, as well as licenses in many of the other regions in which we operate.