e-Money Handbook

Class 6 – e-Money Handbook - Link to Register of licenceholders

Contents

1. Introduction

The e-Money handbook is produced to provide licenceholders (those who are licensed by the Financial Supervision Commission to issue e-Money in or from the Isle of Man), potential licenceholders and other interested parties with easy access to the legislation and guidance relating to e-Money in or from the Isle of Man.

The handbook is only produced in an on-line format. However, copies of all statutory documents (original, un-amended, legislation) may be obtained from the Tynwald Library, by quoting the SD number shown at the top of each document.

Please find links below to the Financial Services Act 2008, secondary legislation and relevant pieces of guidance.

Guidance (and where applicable other legislation) relating to other Classes of Regulated Activities may be found in handbooks relating to other licensable activities: Deposit taking, Investment Businesses, Collective Investment Schemes, Corporate Service Providers, Trust Service Providers, and Management and Administration Services.

In case of any query, please contact the Enforcement/Authorisations team at the Commission, on +44 (0)1624 689380.

2. Legislation

2.1 The Primary legislation governing e-Money in or from the Isle of Man is the Financial Services Act 2008.

The following secondary legislation is made under powers contained in the Financial Services Act 2008. Where these regulations and regulatory codes have been amended after they were made, the “as amended” version is shown:

2.2 Other legislation which may affect e-Money providers but which is not made under the Financial Services Act 2008:

Financial Services Review Regulations 2001

3. Guidance applicable to e-Money

Guidance and forms which relate to e-Money:

3.1 Disaster recovery/business continuity

The use of facilities on the Island by regulated businesses from other jurisdictions for temporary business continuity purposes is addressed by Schedule 2 of the Financial Services (Exemption) Regulations 2009.

3.2 Features of the e-money regime

The Licensing Policy (at paragraph 2.7.5) requires that an e-money issuer is locally incorporated.

Part 3 of the Rule Book requires e-money issuers to segregate customers’ money (“the e-money float”) from the licenceholder’s own funds.

Part 6 of the Rule Book requires that:

Any funds received by a licenceholder from a client must be exchanged for e-money without delay;
A licenceholder must, if requested to do so, redeem any e-money it has issued if the request is from a person who lawfully holds the e-money; and
Licenceholders must not issue e-money through agents.

4. Guidance applicable to all licensable sectors/activities

Guidance on matters generic to all FSC-licensable activities/ categories of business:

Anti Money Laundering Handbook
Business plans - rule 8.9 guidance
Corporate Governance
Licensing Policy
Materiality of rule breaches – rule 8.14 guidance
Outsourcing/Delegation of function
Vettings forms
Responsibilities and Duties of Directors under the laws of the Isle of Man
Rule Book consent and notification summary table
Rule Book obligations to keep registers
Rule Book obligations to maintain policies
Proforma subordinated loan agreement (N.B. This proforma agreement has been prepared specifically for use by applicants for and holders of a financial services licence under the Financial Services Act 2008. If you are not an applicant or licenceholder, you should not copy, circulate or in any other way use or rely on the wording contained in the agreement. Applicants and licenceholders may copy the proforma but must not rely on the wording of the proforma and should take their own legal advice as to the appropriateness of the wording and the document in their own circumstances.)
Supervisory approach
Training & Competence

5. Sundry web links and other matters

Terms & Conditions

F.S.C

Financial Supervision Commission

Barrantee Oaseirys Argidoil

e-Money Handbook