What is a small payment institution?
The Financial Conduct Authority, in accordance with Payment Services Regulations, defines a small payment institution as being any person, including a corporate entity, registered as a payment institution and included by the Financial Conduct Authority in the Financial Services Register as a small payment institution.
What is an authorised payment institution?
An authorised payment institution is any person, including a corporate entity, authorised as a payment institution under the Payment Services Regulations and included in the Financial Services register to that effect.
What is the difference between a Small Payment Institution (SPI) V an Authorised Payment Institution (API)?
All companies operating a remittance (money transfer) service must also possess a money transmitter licence from HMRC. Under each of the FCA licences, there are a number of shared provisions applicable to all companies operating in the market, as well as requirements and permissions specific to each type of licence. For instance, API licensed firms are required to maintain minimum own funds levels, whereas this condition does not apply to those holding an SPI licence.