NON-BANK FINANCIAL INSTITUTIONS AND SERVICE PROVIDERS
The AML Shop's team of experts have extensive experience with non-bank financial institutions and service providers. Some of our clients include MSBs, PSPs, mortgage, finance and leasing companies, as well as dealers in virtual currency and precious metals and stones. We know that each provider has unique needs when it comes to AML compliance and it is our mission to ensure our clients are compliant with the most current regulatory requirements.
RETAIL PAYMENTS ACTIVITIES ACT
In Canada, the newly released Retail Payments Activities Act (RPAA) will impact how payments function compliantly for MSB’s, FMSB’s and PSP’s. Being aware of the latest best practices when it comes to sending, receiving or holding electronic payments is vital for your businesses compliance. The AML Shop’s team of experts are here to assist and are qualified to help you navigate these new regulations to ensure your business is compliant with all the latest requirements.
Attention! Big changes are coming for Payment Service Providers (PSPs) through 2024.
In early 2023, the Bank of Canada held a consultation period in preparation for final regulations under the new Retail Payments Activities Act (RPAA). Pending final regulations being announced, the RPAA will enact measures of control for PSPs, due the increasing complexity and breadth of payment technology and associated concerns around global security, fraud and money-laundering.
The proposed regulations applying to PSPs include:
Standards for operational risk management
Requirements to safe-gaurd end-user funds (payor or payee)
Registration of PSPs with the Bank of Canada
New reporting requirements and associated penalties for violations
Timelines and information requirements to support national security review processes
Get your business prepared in advance for these upcoming changes, contact an AML expert today.
Contact us now to discuss your specific compliance priorities. Whether you need to start, assess or refine your compliance program or adapt your current compliance program to the new Retail Payments Activities Act, we are here to assist.
RETAIL PAYMENTS ACTIVITIES ACT NEW SUPERVISORY POLICIES - APRIL 2024
The Bank of Canada (the “Bank”) has released new supervisory policies under the Retail Payments Activities Act (RPAA). These policies are the Bank of Canada’s way of communicating how they intend on enforcing the RPAA with regulated entities - known as Payment Services Providers, or PSPs.
We found a few of these policies to be important for payments businesses and have outlined them and our view of their implications below.
PRESCRIBED SUPERVISORY INFORMATION
The new policies set out the types of information supplied by a PSP to the Bank that cannot be used as evidence in certain court cases, and then information provided the Bank that payments companies can’t disclose further.
These new policies are important as they lead to more certainty about how information will flow between the Bank and PSPs. For more information, please contactus@theamlshop.ca
RECORD KEEPING
The record-keeping policy outlines what PSPs should retain to meet their obligations..
The list of record keeping requirements is extensive and includes these categories of records:
Operational Risk Management and Incident Response Requirements
Incident notification requirements
Holding funds
Other requirements to provide information to the banks include items such as annual reports, significant changes or new activity, registration changes, PSP information changes, change in prescribed information of a registration application, special audits information requests relating to assessment fees and requirements around end user funds.
As these new policies are highly intricate, our AML Experts are on Standby to help your business navigate within its specific need and context.
For further information about these new supervisory policies or anything to do with the Retail Payments Activities Act, Contact an AML expert today for advice.
OUTSOURCING YOUR AML
Have a FINTRAC exam coming up or are you considering outsourcing your compliance role completely? The AML Shop was created by AML professionals, for AML professionals and in November 2019 OSC announced it will make it easier for smaller firms to outsource their compliance duties related to AML - now's the time to get in touch.
The following are businesses and service providers we work with
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