PSP license in UK

It is difficult to overestimate the opportunities of the British economy because this country is one of the world’s flagships in income stability of residents and opportunities for earnings. Investors do not like regions with unstable banking systems and financial sectors. Therefore, when founding their enterprise, they choose the UK as the place of actual and legal registration and wish to obtain a PSP license in UK.

Such a document is not easy to obtain. Local conservatism can confuse even the most experienced employees. It takes years to cooperate with the local regulatory authorities, so as not to make a mistake when submitting documents. Let’s look in detail at the procedure and requirements for PSP license in this country.

The decision to issue of payment agent licenses in the UK

If you want to get a PSP license in UK, you should remember that the issuing of such licenses is handled by special supervisory bodies. They give different types of PSP licenses which give different possibilities.

The most valuable is considered to be a special permit AEMI. When it is issued, the company will be able to carry out any format of operations not only in the territory of this country but also in other regions of the EU. Such a document will allow them to:

• open IBAN accounts;
• to receive a member status in the SWIFT payment system;
• conduct similar operations within the SEPA system, etc.

This type of authorization is very much appreciated by companies and they want full access. Some even try to buy a company with PSP license in UK, but such a solution is not the most reliable. Sometimes companies do not have the most positive history with the FCA and the regulator may suspend the license, which will create certain inconveniences in the work.

Pros of acquiring licenses in the UK

There are differences between banking licenses and PSP licenses in the UK. Corporations with a banking license will be able to assume credit dealings or make deposits with interest. For corporations with a payment service provider license, there are no such features. But they do not need to adjust to the conditions of the functioning of the banking associations, and in this area, they are not supervised.

It is better for corporations, working in the financial sector, to apply for a payment system license. With such a license in place, companies can conduct financial operations and enjoy loyalty from the controlling authorities. But to get such a chance, they need to have such an enterprise, the operation of which will not contradict British law.

Requirements for companies

Appellants should review all of the requirements for payment service providers. Among them::

• an open bank account with a British institution;
• the absence of bans on the activities of the supervisory authorities of the UK or the EU;
• availability of supporting documents regarding the origin of funds comprising the main assets of the legal entity;
• availability of own or leased office in the UK;
• the amount of fixed assets on the account is not less than the established amount (from 20,000 euros, depending on the authorization received);
• the presence of two directors who are citizens of Great Britain.

In addition, companies applying for a payment agent license in UK better prepare in advance a business plan, documents regarding the accounting system, the availability of staff of appropriate qualifications, work strategy for several years, and contracts concluded with suppliers (if such contracts exist).

Peculiarities of the licensing documents

The procedure for payment agent license in UK  usually takes six months. If various difficulties arise during this time, the process may be prolonged for another six months. For example, in case it is necessary to clarify the source of funds on the account.

Before applying, it is worth carefully studying all necessary documents and providing them to FCA representatives immediately. This will greatly speed up the issuance of the payment transfer license and save you a lot of time. Otherwise, it is likely to be rejected, resulting in significant losses for your business.

Who to approach for help

To submit all the documents and obtain a PSP license in the UK or to buy a payment service provider license in the UK for the first time, we recommend contacting our staff. We will be able to speed up these procedures considerably.

Most of our clients receive licenses faster than the stated deadlines from the FCA, as our employees have repeatedly submitted the necessary documents. Therefore, already at the stage of preparation of the application, we already see what needs to be corrected. This saves you time and money.