Bill proposes changes to supplement the payroll services of Singapore


SINGAPORE: To keep up with a growing and increasingly demanding landscape landscape. Coming out, a new regulatory framework for paying services was introduced on Monday (November 19).

It will be submitted for its first reading in the & # 39; Parliament, the new Pay Services Bill will introduce payment services regulations under activity-based legislation, and extend the range of regulated actions to include traditional and newer pay service providers.

The proposed changes give a more advanced environment for innovation in payroll services and make sure that risks across the tire chain are reduced, said Single Currency Authority (MAS ) in a statement.

At this time, the MAS regulates different types of pay under the Pay Systems (Remedial) Act and the Transactions and Elections Act, which was implemented in 2006 and 1979 respectively.

However, the payroll landscape has changed dramatically in recent years, lead to new dangers from actions that fall beyond the regulatory rule area; at present. New payment action models have also damaged the lines between actions managed under these two Acts, the MAS said in previous press releases.

The Bill is set instead of the existing payment arrangement and when it comes into effect, the two Acts will be reversed.

The new legislation includes two parallel regulatory frameworks: a merchandising system that enables MAS to manage important payment systems for financial sustainability and efficiency purposes, and a licensing system that is in place; focus on retail pay services provided to buyers and buyers.

One of the main changes will fall under the licensing framework that is & # 39; recommend where payment services providers do not have to make any permit for any pay or multi-pay activities.

However, there are three classes of permissions. Depending on the type of payment activity that is involved and the level of business transactions, a provider may be referred to as a converting licensee, a general pay center or a pay center.

For example, a large payroll is defined as being allowed to carry more than $ 3 million in transactions on a monthly basis, plus a # 39; receive normal daily compensation of over $ 5 million a year.

Payments have been extended to take a broader range and are categorized into seven groups: census declaration, cash application, domestic money transfer, transfer of money, buyer buy, buy and sell Digital payment marks, as well as currency change,

Each activity has different risks and the Bill will make a difference to regulatory requirements accordingly, rather than to do so; enforcement of rules.

By measuring mitigation measures for special payment services that permit licensing, it is better to protect the money of customers and retailers, the MAS said in the " press release. It also ensures that there is adequate control over cash waste and terrorist funding funding, and # 39; reducing waste and strengthening technology and cycling rates in a payroll.

Including the Bill will affect financial institutions, such as banks, merchant banks, financial companies and a non-bank credit card or credit card exemption.

In order to affect these units, MAS has a 12 month grace period for all payment services, except for digital payroll services – an extension from the previous six months previously proposed Requests to give more time to new units to change the new Post Office framework.

Previous consultation visits have also made MAS submitting provisions in the Bill to prevent cash-makers from any behaviors related to a tenancy business, such as cash lending, or a & # 39; prohibit all licensors from keeping consumer loans. By asking organizations that hold such appropriate licensing activities, the financial regulator stated that he is in a position; Try to ensure that risks are properly managed.

"The Pay Services Bill will develop the regulatory framework for payroll services in Singapore, strengthen consumer protection and build confidence in using dash payments," said Mr Ravi Menon, managing manager of MAS.

"The Bill also shows a shift to control modular, operational-based regulation and help grow and develop in Singapore's landscapes."

Source link