MAS regulates seven payment services under the PS Act:
|Activity Type||Brief Description|
Account issuance service
|The service of issuing a payment account or any service relating to any operation required for operating a payment account, such as an e-wallet (including certain multi-purpose stored value cards) or a non-bank issued credit card.|
Domestic money transfer service
|Providing local funds transfer service in Singapore. This includes payment gateway services and payment kiosk services.|
Cross-border money transfer service
|Providing inbound or outbound remittance service in Singapore.|
Merchant acquisition service
|Providing merchant acquisition service in Singapore where the service provider processes payment transactions from the merchant and processes payment receipts on behalf of the merchant. Usually the service includes providing a point-of-sale terminal or online payment gateway.|
E-money issuance service
|Issuing e-money to allow the user to pay merchants or transfer to another individual.|
Digital payment token service
|Buying or selling digital payment tokens (“DPTs”) (commonly known as cryptocurrencies), or providing a platform to allow persons to exchange DPTs.|
|Buying or selling foreign currency notes.|
There are exclusions from the scope of payment services under Part 2 of the , such as services by technical service providers that do not accept money, and services in respect of limited purpose e-money. You may also refer to the for more information on the scope of payment services.
The diagram below shows how the payment services interact with each other, merchants and consumers.
Payment service providers can conduct multiple payment services under one licence. There are three types of licences that payment service providers can hold to provide the payment services above:
Licensees are required to comply, on an ongoing basis, with all applicable requirements set out under the PS Act, as well as other relevant legislation. Licensees are expected to put in place systems, policies and procedures to ensure that they fulfil all ongoing obligations, including the key areas below:
Anti-Money Laundering and Countering the Financing of Terrorism Requirements
Disclosures and Communications
Annual Audit Requirements
Licensees should also understand and apply the relevant MAS Guidelines and keep abreast of regulatory changes.
On the commencement of the PS Act on 28 January 2020, the Payment Systems (Oversight) Act (“PS(O)A”) and Money-changing and Remittance Businesses Act (“MCRBA”) that provided for the oversight of stored value facilities and regulation of money-changing and remittance businesses, were repealed.
Holders of widely accepted stored value facilities, money-changer’s and remittance licence under the PSOA and MCRBA
Approved holders of widely accepted stored value facilities and licensed remittance agents have been deemed as major payment institutions under the PS Act and holders of money-changer’s licences have been deemed as holders of money-changing licences under the PS Act.
Entities conducting new payment services
For new payment services, there are transitional arrangements where entities are exempted from applying for and holding a licence with respect to the specific payment services for a specified period. Such entities must have made a notification to MAS by 27 February 2020. The list of entities that have notified MAS pursuant to the Payment Services (Exemption for Specified Period) Regulations 2019 can be found .
The specific payment services are, in summary:
|Payment Service||Specific Payment Service||Specified Period|
|Account issuance service||Providing account issuance service||12 months from commencement
i.e. 28 January 2021
|Domestic money transfer service||Providing domestic money transfer service|
|Cross-border money transfer service||Providing inward cross-border money transfer service|
|Merchant acquisition service||Providing merchant acquisition service|
|E-money issuance service||Issuing e-money where the total float (set out in the PS Act as total relevant money) held by the e-money issuer does not exceed S$30 million|
|Digital payment token service||Providing digital payment token||
6 months from commencement