Standard Payment Institution License
License for payment institutions providing DPT services with monthly transaction volumes below SGD 3 million threshold.
Payment Services Act 2019 Part 3 Sec. 17-20, MAS Notice PSN02
Capital Required
SGD 100,000 base capital
Timeline
6-9 months
Fees
SGD 1,000 application + SGD 5,000 annual
Regulatory Body
Monetary Authority of Singapore (MAS)
Legislative Framework
Payment Services Act 2019 (PSA), Securities and Futures Act (SFA), Financial Services and Markets Act 2022 (FSMA), MAS Technology Risk Management Guidelines
Last updated: July 2025
Key Requirements
Minimum SGD 100,000 base capital maintained at all times and verified quarterly
Monthly transaction volume in DPT services below SGD 3 million aggregate threshold
Sound risk management framework covering credit, liquidity, operational, and compliance risks
Single Key Appointment Holder approved by MAS in fit-and-proper assessment
AML/CFT procedures aligned with MAS Guidelines including customer verification and suspicious activity reporting
Customer funds segregated in trust accounts with MAS-licensed banks and documented segregation agreements
Business continuity plan and basic cybersecurity controls compliant with MAS guidelines
Clear customer communication regarding service terms, fees, and complaint handling procedures
Application Process
Submit Standard Payment Institution License application with business plan and expected transaction volumes
Provide organizational structure, management CV for Key Appointment Holder, and fit-and-proper declaration
Submit AML/CFT procedures, customer agreement terms, and segregation arrangement with bank partner
MAS preliminary review and issuance of in-principle approval if application meets criteria
Finalize banking arrangements and submit evidence of customer fund segregation capability
MAS final license issuance upon confirmation of readiness
Expected Total Timeline
6-9 months
Ongoing Obligations
After obtaining your Standard Payment Institution License, these are the continuing compliance requirements you must maintain.
Quarterly capital reports and annual independent audit of financial statements to MAS
Quarterly submission of transaction volume reports and customer fund reconciliation statements
Annual AML/CFT compliance certifications and suspicious activity reporting per MAS requirements
Immediate notification to MAS within 7 days of material incidents, compliance breaches, or holder changes
Maintenance of customer fund segregation and prohibition on commingling with operational funds
Annual review of business continuity plan and cybersecurity measures with certification to MAS
Cost Summary
Capital Requirement
SGD 100,000 base capital
Application & Licensing Fees
SGD 1,000 application + SGD 5,000 annual
Jurisdiction Setup Cost
$40,000-$120,000
Annual: $60,000-$150,000
Other Singapore Licenses
Explore other license types available in Singapore.
Major Payment Institution License
Capital Markets Services License
Licensed Fund Management Company
Stablecoin Issuer Framework
Need help with Standard Payment Institution License?
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