Regulations, 2016

Suppliment tal-Gazzetta tal-Gvern ta’ Malta Nru. 19,692, 7 ta’ Diċembru, 2016

L.N. 411 of 2016

BANKING ACT

(CAP. 371)

FINANCIAL INSTITUTIONS ACT

(CAP. 376)

Credit Institutions and Financial Institutions (Payment Accounts)

Regulations, 2016

IN exercise of the powers conferred by article 3 of the Banking

Act and article 12 of the Financial Institutions Act, the Minister for

Finance, acting on the advice of the Malta Financial Services

Authority, has made the following regulations:-

PART 1

Introductory Provisions

(1) The title of these regulations is the Credit Citation, scope

Institutions and Financial Institutions (Payment Accounts) and

commencement.

Regulations, 2016.

(2) The purpose of these regulations is to implement the

Payment Accounts Directive.

(3) These regulations lay down rules concerning the

transparency and comparability of fees charged to consumers on their

payment accounts held in Malta, rules concerning the switching of

payment accounts within Malta and other Member States and rules to

facilitate cross-border payment account-opening for consumers.

(4) These regulations also define a framework for the rules

and conditions to which Malta is required to guarantee a right for

consumers to open and use payment accounts with basic features in

Malta.

(5) Parts 2 and 3 of these regulations apply to payment service

providers and Part 4 applies to credit institutions.

(6) Regulations 8, 10, 12 and 13 shall enter into force on 18

June 2017.

[Regulation 8(2)]

Content and presentational format of the fee information document

Compliance with implementing technical standards

1. The fee information document shall comply with the requirements of

any implementing technical standards adopted by the European Commission in

accordance with Article 4(6) of the Payment Accounts Directive regarding a

standardised presentational format of the fee information document and its

common symbol, as amended from time to time in accordance with Article 4(7) of

the same Directive.

Content

2. (1) The fee information document shall use the standardised terms

contained in the final list of the most representative services linked to a payment

account.

(2) Where the payment service provider offers any service featured in the

list of the most representative services linked to a payment account, the

corresponding fee for that service shall be quoted.

(3) The fee information document may also include a list of penalties which

may be incurred by the consumer for the use of a payment account.

Packages of services

3. Where one or more services featured in the list of the most

representative services linked to a payment account are offered as part of a

package of services, the fee information document shall disclose

(a)

the fee for the entire package;

(b)

the services included in the package and their quantity; and

(c)

the additional fee for any service that exceeds the quantity

covered by the package fee.

Presentational format

4. The fee information document shall

(a)

be provided on paper or another durable medium;

(b)

be a short and stand-alone document;

(c)

be presented and laid out in a way that is clear and easy to read

using characters of a reasonable size;

(d) be no less comprehensible in the event that, having been

originally produced in colour, it is printed or photocopied in black and white;

(e)

be written in Maltese and English or, if agreed by the consumer

and payment service provider, in another language;

(f)

be accurate, not misleading, and expressed in the currency of the

payment account or, if agreed by the consumer and the payment service

provider, in another currency of the European Union;

(g) contain the title ''Fee Information Document'' at the top of the

first page next to the common symbol referred to in paragraph 1 to

distinguish the fee information document from other documentation; and

(h) include a statement that it contains fees for the most

representative services linked to a payment account, any penalties which may

be incurred for the use of the payment account, and that complete pre-

contractual and contractual information on all the services is provided in

other documents.

5. The fee information document shall be provided together with the

information required pursuant to other EU or national legislation on payment

accounts and related services, provided that all the requirements in paragraph 4 are

met.

(1) For the purposes of these regulations the following Interpretation.

definitions shall apply

''branch'' means a place of business which forms a legally

dependent part of a credit institution and which carries out directly all

or some of the transactions inherent in the business of credit

institutions;

''bundling'' means the offering of one or more ancillary service

with a payment account in a package, where the payment account or

the ancillary service may also be made available to the consumer

separately, but not necessarily on the same terms or conditions as

when offered bundled;

''business day'' means a day on which the relevant payment

service provider is open for business as required for the execution of a

payment transaction;

''Charter'' means the Charter of Fundamental Rights of the

European Union;

''combined account'' means a type of account which comprises a

payment account, an overdraft and a loan facility simultaneously;

''competent authority'' means the Malta Financial Services

Authority established by the Malta Financial Services Authority Act;

''consumer'' means any natural person who is acting for purposes

which are outside his trade, business, craft or profession;

''credit institution'' has the same meaning as is assigned to the

term in the Banking Act;

''credit interest rate'' means any rate at which interest is paid to

the consumer in respect of funds held in a payment account;

''credit transfer'' means a national or cross-border payment

service for crediting a payee’s payment account with a payment

transaction or a series of payment transactions from a payer’s

payment account by the payment service provider which holds the

payer’s payment account, based on an instruction given by the payer;

''creditor-driven direct debit'' means a payment service for

debiting a consumer’s payment account where the creditor, following

receipt of the direct debit mandate from the consumer, will be

responsible for the storing of such mandate whilst also initiating the

payment transaction. The payment service provider does not receive

any mandate related information from the consumer and nor is

responsible for the verification of the creditor’s right to collect

payment;

''debtor-driven direct debit'' means a payment service for

debiting a consumer’s payment account where a payment transaction

is initiated by the creditor informing the payer’s payment service

provider of the consumer’s intention to make payments by direct

debit. The mandate issued by the payment service provider following

the payer’s authorisation for a direct debit collection stays with the

same payment service provider. When the creditor presents a direct

debit collection to the payment service provider, the latter may

choose to obtain the creditor’s authorisation to collect payment based

on the mandate;

''direct debit'' means a national or cross-border payment service

for debiting a payer’s payment account, where a payment transaction

is initiated by the payee on the basis of the payer’s consent;

''Directive 2005/60/EC'' means Directive 2005/60/EC of the

European Parliament and of the Council of 26 October 2005 on the

prevention of the use of the financial system for the purpose of money

laundering and terrorist financing, as amended for time to time, and

includes any implementing measures that have been or may be issued

thereunder;

''Directive 2007/64/EC'' means Directive 2007/64/EC of the

European Parliament and of the Council of 13 November 2007 on

payment services in the internal market amending Directives 97/7/

EC, 2002/65/EC, 2005/60/EC and 2006/48/EC and repealing

Directive 97/5/EC, as amended from time to time, and includes any

implementing measures, implementing technical standards,

regulatory technical standards, guidelines and similar measures that

have been or may be issued thereunder;

''Directive 2008/48/EC'' means Directive 2008/48/EC of the

European Parliament and of the Council of 23 April 2008 on credit

agreements for consumers and repealing Council Directive 87/102/

EEC, as amended from time to time, and includes any implementing

measures that have been or may be issued thereunder;

''durable medium'' means any instrument which enables the

consumer to store information addressed personally to that consumer

in a way accessible for future reference for a period of time adequate

for the purposes of the information and which allows the unchanged

reproduction of the information stored;

''electronic money'' has the same meaning as that assigned to the

term in the Third Schedule of the Financial Institutions Act;

''EBA'' means the European Banking Authority established by

Regulation (EU) No 1093/2010;

''EEA State'' means a State which is a contracting party to the

agreement on the European Economic Area signed at Oporto on the

2nd May 1992, as amended by the protocol signed at Brussels on 17th

March 1993, and as amended by any subsequent acts;

''EU standardised terminology'' means the terms set out in any

regulatory technical standards adopted by the European Commission

in accordance with regulation 3(1);

''European Union'' or ''EU'' means the European Union as

defined in article 2 of the European Union Act;

''fees'' means all charges, tariffs, and penalties, if any, payable

by the consumer to the payment service provider for or in relation to

services linked to a payment account;

''fee information document'' means a document provided under

regulation 8(1);

''framework contract'' means a payment service contract which

governs the future execution of individual and successive payment

transactions and which may contain the obligation and conditions for

setting up a payment account;

''funds'' means banknotes and coins, scriptural money and

electronic money as defined in the Financial Institutions Act;

''legally resident in Malta or in another Member State'' means a

natural person who has the right to reside in Malta or in another

Member State by virtue of EU or national law, including consumers

with no fixed address and persons seeking asylum under the Geneva

Convention of 28 July 1951 relating to the Status of Refugees, the

Protocol thereto of 31 January 1967 and other relevant international

treaties;

''Member State'' means a Member State of the European Union

and includes an EEA State;

''Minister'' means the Minister responsible for Finance;

''Office of the Arbiter for Financial Services'' means the Office

of the Arbiter for Financial Services as established under article 10 of

the Arbiter for Financial Services Act;

''overdraft facility'' means an explicit credit agreement whereby

a payment service provider makes available to a consumer funds

which exceed the current balance in the consumer’s payment account;

''overrunning'' means a tacitly accepted overdraft whereby a

payment service provider makes available to a consumer funds which

exceed the current balance in the consumer’s payment account or the

agreed overdraft facility;

''payee'' means a natural or legal person who is the intended

recipient of funds which have been the subject of a payment

transaction;

''payer'' means a natural or legal person who holds a payment

account and allows a payment order from that payment account or,

where there is no payer’s payment account, a natural or legal person

who makes a payment order to a payee’s payment account;

''payment account'' means an account held in the name of one or

more consumers which is used for the execution of payment

transactions;

''Payment Accounts Directive'' means Directive 2014/92/EU of

the European Parliament and of the Council of 23 July 2014 on the

comparability of fees related to payment accounts, payment account

switching and access to payment accounts with basic features, as

amended from time to time, and includes any implementing

measures, implementing technical standards, regulatory technical

standards, guidelines and similar measures that have been or may be

issued thereunder;

''payment instrument'' means any personalised device(s) and, or,

set of procedures agreed between the payment service user and the

payment service provider and used by the payment service user in

order to initiate a payment order;

''payment order'' means any instruction by a payer or payee to

his payment service provider requesting the execution of a payment

transaction;

''payment service'' means any activity listed in the Second

Schedule of the Financial Institutions Act;

''payment service provider'' has the same meaning as that

assigned to the term in point (9) of Article 4 of Directive 2007/64/EC;

''payment transaction'' means an act, initiated by the payer or by

the payee, of placing, transferring or withdrawing funds, irrespective

of any underlying obligations between the payer and the payee;

''prescribed'' means prescribed by regulations made under the

Banking Act or the Financial Institutions Act;

''receiving payment service provider'' means the payment

service provider to which the information required to perform the

switching is transferred;

''Regulation (EU) No 1093/2010'' means Regulation (EU) No

1093/2010 of the European Parliament and of the Council of 24

November 2010 establishing a European Supervisory Authority

(European Banking Authority), amending Decision No 716/2009/EC

and repealing Commission Decision 2009/78/EC, as amended from

time to time, and includes any implementing measures that have been

or may be issued thereunder;

''relevant period'' means the period to which the statement of

fees relate;

''services linked to the payment account'' means all services

related to the opening, operating and closing of a payment account,

including payment services and payment transactions falling within

the scope of point (g) of Article 3 of Directive 2007/64/EC, overdraft

facilities and overrunning;

''standing order'' means an instruction given by the payer to the

payment service provider which holds the payer’s payment account to

execute credit transfers at regular intervals or on predetermined dates;

''statement of fees'' means a statement provided under regulation

10(1);

''switching'' or ''switching service'' means, upon a consumer’s

request, transferring from one payment service provider to another

either the information about all or some standing orders for credit

transfers, recurring direct debits and recurring incoming credit

transfers executed on a payment account, or any positive payment

account balance from one payment account to the other, or both, with

or without closing the former payment account;

''transferring payment service provider'' means the payment

service provider from which the information required to perform the

switching is transferred;

''Tribunal'' means the Financial Services Tribunal as established

under the Malta Financial Services Authority Act.

(2) For the purpose of these regulations

(a)

combined accounts and payment accounts holding

electronic money shall not be deemed to be payment accounts,

unless such types of accounts are used for day-to-day payment

transactions; and

(b) the Central Bank of Malta shall not be deemed to be

a payment service provider.

PART 2

Comparability of fees connected with payment accounts

[Regulation 10(3)]

Content and presentational format of the statement of fees

Compliance with implementing technical standards

The statement of fees shall comply with the requirements of any

implementing technical standards regarding a standardised presentational format

of the statement of fees and its common symbol adopted by the European

Commission under Article 5(4) of the Payment Accounts Directive.

Content

2. (a)

The statement of fees shall

(i) state all fees incurred during the relevant period for

services linked to a payment account;

(ii) where applicable, use the terms set out in the list of the

most representative services linked to a payment account; and

(iii) be accurate, not misleading, and expressed in the currency

of the payment account or, if agreed by the consumer and the payment

service provider, in another currency.

(b) The statement of fees shall also include all penalties incurred

related to the use of a payment account.

Mandatory information

3. The statement of fees shall specify at least the following information

(a) the unit fee charged for each service and the number of times the

service was used during the relevant period;

(b)

where the services are combined in a package

(i)

the fee charged for the package as a whole;

(ii) the number of times the package fee was charged during

the relevant period; and

(iii) the additional fee charged for any service exceeding the

quantity covered by the package fee;

(c)

the total amount of fees incurred during the relevant period for

(i)

each service;

(ii) each package of service provided;

(iii) services exceeding the quantity covered by the package

(d) the overdraft facility interest rate or rates applied to the payment

account during the relevant period, where applicable;

(e)

the total amount of interest charged relating to the overdraft

facility during the relevant period, where applicable;

(f)

the credit interest rate or rates applied to the payment account

during the relevant period;

(g)

the total amount of interest earned during the relevant period; and

(h) the total amount of fees charged for all services provided during

the relevant period.

Presentational format

4. (a)

The statement of fees shall

(i) be presented and laid out in a way that is clear and easy to

read, using characters of a reasonable size;

(ii) contain the title ''statement of fees'' at the top of the first

page of the statement next to the common symbol referred to in

paragraph 1 to distinguish the document from other documentation; and

(iii) be written in Maltese and English, or if agreed by the

consumer and the payment service provider, in another language.

(b) The statement of fees shall be provided together with any

information required pursuant to other European Union or national legislative acts

on payment accounts and related services on the condition that the requirements in

paragraphs 2(a)(iii) and 4(a) are met.

(1) Following adoption by the European Commission of Publication of

regulatory technical standards setting out the EU standardised the

most

terminology, the competent authority shall without delay, and at the representative

services linked

latest within three months of entry into force of the EU standardised to payment

terminology, publish a list of the most representative services linked accounts.

to a payment account and subject to a fee.

(2) The list of the most representative services linked to a

payment account shall

(a)

feature at least 10 and no more than 20 of the most

representative services linked to a payment account and subject

to a fee, offered by at least one payment service provider;

(b) contain terms and definitions for each of the services

identified; and

(c)

where

applicable,

use

the

EU

standardised

terminology.

[Regulation 15(2)]

Switching service

Authorisation

1. (a) The receiving payment service provider shall perform the

switching service upon receipt of the authorisation from the consumer, which shall

be in such form as may be suggested by the receiving payment service provider.

(b) In the case of two or more holders of the account, authorisation

shall be obtained from each of them.

(c) The authorisation shall be drawn up in Maltese or in English or in

any other language agreed between the parties.

(d)

The authorisation shall allow the consumer to

(i) provide specific consent to the performance by the

transferring payment service provider of each of the tasks set out in

paragraph 2 (a) to (f);

(ii) provide specific consent to the performance by the

receiving payment service provider of each of the tasks referred to in

paragraph 4(a)(i) to (vii);

(iii) specifically identify incoming credit transfers, standing

orders for credit transfers and direct debit mandates that are to be

switched; and

(iv) specify the date from which standing orders for credit

transfers and direct debits are to be executed from the payment account

opened or held with the receiving payment service provider.

(e) The date specified in accordance with sub-paragraph (d)(iv) shall

be at least six business days after the date on which the receiving payment service

provider receives the documents transferred from the transferring payment service

provider in accordance with paragraph 3(a)(i).

(f)

The receiving payment service provider shall require the

authorisation from the consumer to be in writing and that a copy of the

authorisation be provided to the consumer.

Request from the receiving payment service provider

2. Within two business days from receipt of the authorisation referred to in

paragraph 1, the receiving payment service provider shall request that the

transferring payment service provider carry out each of the following tasks, if

provided for in the consumer’s authorisation

(a)

transmission to the receiving payment service provider and, if

specifically requested by the consumer, to the consumer, of a list of the

existing standing orders for credit transfers and available information on

direct debit mandates that are being switched;

(b) transmission to the receiving payment service provider and, if

specifically requested by the consumer, to the consumer, of the available

information about recurring incoming credit transfers and creditor-driven

direct debits executed on the consumer’s payment account during the

previous thirteen months;

(c)

where the transferring payment service provider does not provide

a system for automated redirection of the incoming credit transfers and direct

debits to the payment account held by the consumer with the receiving

payment service provider, stop accepting direct debits and incoming credit

transfers with effect from the date specified in the authorisation;

(d) cancellation of standing orders with effect from the date specified

in the authorisation;

(e)

transfer of any remaining positive balance to the payment account

opened or held with the receiving payment service provider on the date

specified by the consumer; and

(f)

closure of the account held by the consumer with the transferring

payment service provider on the date specified by the consumer.

Tasks for the transferring payment service provider

3. (a)

Upon receipt of a request from the receiving service provider, the

transferring payment service provider shall carry out the following tasks, if

provided for in the consumer’s authorisation

(i) send the information described in paragraphs (2)(a) and (b)

to the receiving payment service provider within five business days;

(ii) where the transferring payment service provider does not

provide a system for automated redirection of incoming credit transfers

and direct debits to the payment account held or opened by the

consumer with the receiving payment service provider, stop accepting

incoming credit transfers and direct debits on the payment account with

effect from the date specified in the authorisation;

(iii) cancel standing orders from the date specified in the

authorisation;

(iv) transfer any remaining positive balance from the payment

account to the payment account opened or held with the receiving

payment service provider on the date specified in the authorisation;

(v) without prejudice to Article 45(1) and (6) of Directive

2007/64/EC, close the payment account on the date specified in the

authorisation if the consumer has no outstanding obligations on that

payment account and the actions described in sub-paragraphs (i), (ii),

and (iv) have been completed.

(b) Where any outstanding obligations on the payment account

prevent closure of the account in accordance with sub-paragraph (a)(v), the

transferring payment service provider shall immediately inform the consumer that

this is the case.

(c) Where the transferring payment service provider stops accepting

incoming credit transfers and direct debits in accordance with sub-paragraph

(a)(ii), it shall inform the payer and the payee in writing and within five business

days, of the reason for not completing the payment transaction.

Tasks for the receiving payment service provider

4. (a) Within five business days of receipt of the information requested

from the transferring payment service provider as referred to in paragraph 2, the

receiving payment service provider shall, if provided for in the authorisation and to

the extent that the information provided by the transferring payment service

provider or the consumer enables the receiving payment service provider to do so,

carry out the following tasks

(i) set up the standing orders for credit transfers requested by

the consumer and execute them with effect from the date specified in

the authorisation;

(ii) make any necessary preparations to accept direct debits

and accept them with effect from the date specified in the authorisation;

(iii) where relevant, inform consumers of their rights in

accordance with Article 5(3)(d) of Regulation (EU) 260/2012 which

establishes technical and business requirements for credit transfers and

direct debits in euro;

(iv) inform payers specified in the authorisation and making

recurrent incoming credit transfers into a consumer’s payment account

of the details of the consumer’s payment account with the receiving

payment service provider and transmit to such payers a copy of the

consumer’s authorisation;

(v) where the receiving payment service provider does not

have all the information it needs to complete the task referred to in sub-

paragraph (iv), ask the consumer or the transferring payment service

provider to provide the missing information;

(vi) inform payees specified in the authorisation and using a

direct debit to collect funds from the consumer’s payment account of

the details of the consumer’s payment account with the receiving

payment service provider and the date from which direct debits are to be

collected from that payment account and transmit to such payees a copy

of the consumer’s authorisation;

(vii) where the receiving payment service provider does not

have all the information that it needs to inform the payees, it shall ask

the consumer or the transferring payment service provider to provide

the missing information.

(b) Where the consumer chooses to personally provide the

information referred to in sub-paragraph (a)(iv) or (vi) to the payers or payees

rather than provide specific consent in accordance with paragraph 2 allowing the

receiving payment service provider to do so, the receiving payment service

provider shall provide the consumer with standard letters providing details of

(i)

the payment account; and

(ii) the starting date specified in the authorisation within the

deadline referred to in paragraph (1)(d)(iv).

(c) Any requirements imposed on the receiving payment service

provider shall start to apply when such payment service provider has all

information and documentation necessary to discharge its duties under this section.

(d) Without prejudice to Article 55(2) of Directive 2007/64/EC, the

transferring payment service provider shall not block any payment instrument

before the date specified in the consumer’s authorisation, so that the provision of

payment services to the consumer is not interrupted in the course of the provision

of the switching service.

Fees connected with the switching service

5. (a) Transferring and receiving payment service providers shall

provide the consumer with access, free of charge, to details of any standing orders

and direct debits applicable to the accounts the consumer holds with them.

(b) The transferring payment service provider shall not charge the

consumer or the receiving payment service provider for the provision of

information requested from it by the receiving payment service provider in

accordance with paragraphs 2(a) and (b).

(c) Any fee payable by the consumer applied by the transferring payment

service provider in respect of the termination of the framework contract for the

payment account held with the transferring payment service provider shall be

determined in accordance with Article 45(2), (4) and (6) of Directive 2007/64/EC.

(d) Transferring or receiving payment service providers may charge the

consumer a fee for any service referred to in paragraphs 2 to 4 - other than those

referred to in sub-paragraphs (a) to (c) of this paragraph - provided that any such

fee is

(i)

reasonable; and

(ii) in line with the actual costs to the payment service

provider of providing the relevant service.

Financial loss for consumers

6. (a)

Subject to sub-paragraph (b), where a consumer suffers any

financial loss, as a direct result of the non-compliance of a payment service

provider with any requirement provided for in paragraphs 2 to 4, the payment

service provider shall reimburse the full extent of the loss, including charges and

interest, without delay.

(b) The duty to reimburse provided for in sub-paragraph (a) shall not

apply in the case of unavoidable losses arising as a result of

(i) abnormal and unforeseeable circumstances beyond the

control of the payment service provider pleading for the application of

those circumstances, the consequences of which would have been

unavoidable despite all efforts to the contrary; or

(ii) the payment service provider’s compliance with other

legal obligations pursuant to other European Union or national

legislative acts.

Information about the switching service

Payment service providers shall make available to consumers the

following information about the switching service

(i) the roles of the transferring and receiving payment service

provider as provided for in this Schedule;

(ii) the time limits that apply to the completion of the tasks

provided for in this Schedule;

(iii) any fees that shall be charged for the switching process;

(iv) details of any information that the consumer is required to

provide;

(v) details of the complaints arrangements maintained under

regulation 44.

(b)

The information referred to in sub-paragraph (a) shall be made

(i) free of charge, on paper or another durable medium, at all

premises of the payment service provider accessible to consumers; and

(ii) in electronic form on the payment service provider’s

website at all times.

(c)

Payment service providers shall also make available such

information required pursuant to other European Union or national legislative acts

on payment accounts and related services.

B

€1.62

Where applicable, a payment service provider shall use the Information for

terminology set out in the list of the most representative services consumers

linked to a payment account in its contractual, commercial and

marketing information.

(1) Every four years, following publication of the list of Periodic review

the most representative services linked to a payment account, the of

most

competent authority shall assess, and where appropriate, update the representative

services linked

to a payment

account.

(2) The competent authority shall notify to the European

Commission and to EBA the outcome of its assessment and, where

applicable, provide them with the updated list.

(1) Upon the European Commission adopting any

change to the regulatory technical standards setting out the EU

standardised terminology, the competent authority shall revise the list

of the most representative services linked to a payment account and

make any consequential amendments thereto.

(2) Payment service providers shall adopt and use such

updated regulatory technical standards within three months of their

coming into force.

(1) A payment service provider shall make available to

consumers a glossary of at least the terms set out in the list of the

most representative services linked to a payment account and the

related definitions.

(2) The glossary shall be available in English and Maltese and

may also be available in any other language as agreed by the payment

service provider and the consumer.

(3) The glossary, including other definitions, shall be in a

clear, unambiguous and non-technical language and shall not be

misleading.

(1) Without prejudice to Article 42(3) of Directive

2007/64/EC and regulation 7 of the Consumer Credit Regulations, a

payment service provider shall ensure that, in good time before

entering into a contract for a payment account with a consumer, it

provides the consumer with a fee information document.

(2) The fee information document shall meet the requirements

set out in Schedule 1.

(1) A payment service provider shall ensure that the fee

information document and the glossary are

(a)

made available to consumers at any time;

(b) provided in an easily accessible manner, including

to the general public

(i) in electronic form on the payment service

provider’s websites where available; and

(ii) in the premises of the payment service

provider.

(2) The fee information document and glossary shall be

provided on paper or another durable medium free of charge upon

request.

(3) Without prejudice to the requirements for the provision of

the fee information document, payment service providers shall also

provide such information and documentation which they may be

required to provide in accordance with other legislative acts as may

be in force from time to time.

(1) Without prejudice to Articles 47 and 48 of Directive Statement of

2007/64/EC and Article 12 of Directive 2008/48/EC, a payment fees.

service provider shall provide consumers with an annual or periodic

statement of fees free of charge.

(2) The method of communication used to provide the

statement of fees shall be agreed with the consumer and, upon the

request of the consumer, the statement of fees shall be provided on

paper, free of charge.

(3) The statement of fees shall meet the requirements set out in

Schedule 2.

For the avoidance of doubt, the provisions of these Provision of

regulations relating to the statement of fees and the fee information information.

document shall apply mutatis mutandis in regard to payment accounts

with basic features.

(1) A payment service provider may use brand names to Branding.

designate its services in its contractual, commercial and marketing

information to consumers, provided that it clearly identifies, where

applicable, the corresponding standardised terms set out in the list of

the most representative services linked to payment accounts.

(2) A payment service provider may use brand names in the

fee information document and the statement of fees, provided such

brand names are used in addition to the terms set out in the list of the

most representative services linked to payment accounts and as a

secondary designation of those services.

(1) The competent authority shall provide consumers Comparison

with access, free of charge, to a website comparing fees charged by websites.

payment service providers for at least the services included in the list

of the most representative services linked to a payment account.

(2) The comparison website shall

(a)

be operationally independent by ensuring that

payment service providers are given equal treatment in search

results;

(b)

clearly disclose that it is compiled by the competent

authority on the basis of information provided by payment

service providers;

(c)

set out clear, objective criteria on which the

comparison shall be based;

(d) use plain and unambiguous language and, where

applicable, the terms set out in the list of the most representative

services linked to a payment account;

(e)

provide accurate and up to date information and

state the time of the last update;

(f)

include a broad range of payment accounts offered

by payment service providers, covering a significant part of the

market, and where the information presented is not a complete

overview of the market, a clear statement to that effect should

be made before displaying results; and

(g) provide an effective procedure to report incorrect

information on published fees.

(3) Other comparison websites may also be operated and

compiled by other entities as long as the minimum criteria laid out in

sub-regulation (2)(a), (c), (d), (e), (f) and (g) are adhered to, and such

other entities shall ensure compliance therewith. Any entity wishing

to operate and compile a comparison website shall notify the

competent authority in writing.

(4) The competent authority shall ensure that it publishes

online a list of such websites.

(5) The competent authority may, in addition to the list of the

most representative services linked to a payment account, compile

and publish any other comparative information with respect to

products and services offered by payment service providers. In such

case, payment service providers shall cooperate, provide and update

such information as may be required by the competent authority from

time to time.

(1) Where a payment account is offered as part of a

package with another product or service which is not linked to a

payment account, the payment service provider shall inform the

consumer whether it is possible to purchase the payment account

separately from such product or service.

(2) Where a payment service provider informs the consumer in

accordance with sub-regulation (1) that it is possible to purchase the

payment account separately, the payment service provider shall

additionally provide the consumer with separate information

regarding the costs and fees associated with each of the other

products and services offered in the package that can be purchased

separately.

(3) Where a payment service provider does not offer such

other products and services separately from the payment account, the

payment service provider may unbundle any of such products and

services from the package. In such case, the payment service provider

shall provide separate information, including any applicable costs and

fees, on the payment account as well as on the packaged payment

account.

PART 3

Switching

(1) A payment service provider shall offer a switching Provision of the

switching

service between payment accounts that are

service.

(a)

denominated in the same currency; and

(b) opened or held with another payment service

provider located in Malta.

(2) A switching service shall be initiated by the receiving

payment service provider at the request of the consumer and shall

meet the requirements set out in Schedule 3.

(1) Where a consumer indicates to a payment service Facilitation of

provider located in Malta with whom that consumer holds a payment cross-border

account opening

account that the consumer wishes to open a payment account with a for consumers.

payment service provider located outside Malta, but within another

Member State, the Maltese payment service provider shall, on a date

specified by the consumer

(a)

provide the consumer, free of charge, with

(i) a list of all currently active standing orders

for credit transfers and debtor-driven direct debit

mandates, where available; and

(ii) available information about recurring

incoming credit transfers and creditor-driven direct debits

executed on the consumer’s payment account in the

previous thirteen months

Provided that there is no obligation on the part of the

payment service provider located in another Member State with

which the consumer wishes to open a payment account, to set up

services that it does not provide;

(b) transfer any positive balance remaining on the

payment account held with the Maltese payment service

provider to the payment account opened or held by the

consumer with a payment service provider in another Member

State; and

(c)

close the payment account held by the consumer

with the Maltese payment service provider.

(2) Without prejudice to Articles 45(1) and 45(6) of Directive

2007/64/EC, the date specified by the consumer referred to in sub-

regulation (1) shall be at least six business days after the Maltese

payment service provider received the consumer’s request, unless

otherwise agreed between the consumer and the Maltese payment

service provider.

(3) The requirement in sub-regulation (1)(b) shall only apply

where

(a)

the consumer has

(i)

requested that the transfer be made;

(ii) provided full details of the account opened or

held with another payment service provider in another

Member State, including any necessary details which are

required by the Maltese payment service provider in order

to identify the payment account opened or held by the

consumer with a payment service provider in another

Member State, as well as the new payment service

provider; and

(b)

there are no outstanding obligations on the account.

(4) Where outstanding obligations prevent the Maltese

payment service provider from closing the payment account in

accordance with sub-regulation (1)(c), it shall immediately inform the

consumer.

(5) For the purpose of this regulation, ''Maltese payment

service provider'' means a payment service provider located in Malta

with whom the consumer holds a payment account.

PART 4

Access to payment accounts

(1) A credit institution shall not discriminate against Non-

consumers legally resident in Malta or in another Member State by discrimination

in the provision

reason of their nationality or place of residence or by reason of any of

accounts.

other ground referred to in Article 21 of the Charter, the Equality for Cap. 456.

Men and Women Act and in other provisions contained in any other

Maltese law as may be in force and amended from time to time, when

those consumers apply for, or access, a payment account.

(2) The conditions applicable to holding a payment account

with basic features within the meaning of regulation 25 shall be in no

way discriminatory.

(1) Credit institutions with a branch network in Malta Right of access

having five or more branches shall offer a payment account with basic to

account with

features and may also offer online accounts with the same basic basic features.

features. Access to such payment account with basic features shall be

provided through the entire branch network of the credit institution

concerned. The competent authority shall ensure that payment

accounts with basic features are not only offered by credit institutions

that provide payment accounts with solely online facilities.

(2) Credit institutions with a network of four branches or less

may also offer payment account with basic features

Provided that in such case the provisions of these

regulations shall apply to such credit institutions mutatis mutandis.

(3) It shall be the duty of the competent authority to prevent

distortions of competition in regard to the manner in which credit

institutions grant access to payment account with basic features, and

to take action thereupon.

(1) In order to be eligible for a payment account with Eligibility

basic features, a consumer shall be legally resident in Malta or in criteria.

another Member State.

(2) Such a right to open and use a payment account with basic

features as indicated in sub-regulation (1) shall apply irrespective of

the consumer’s place of residence.

(3) For the purposes of sub-regulation (1), consumers legally

resident in Malta or in another Member State shall include

(a)

consumers with no fixed address;

(b) persons who may be granted any status as

promulgated under the Refugees Act or any other national

legislation, where such persons may include refugees,

beneficiaries of subsidiary protection and, or beneficiaries of

other forms of humanitarian or international protection,

stateless persons, asylum seekers and failed or rejected asylum

seekers;

(c)

consumers who have not been granted a residence

permit but whose expulsion is impossible for legal or factual

reasons; and

(d) consumers whose status is not covered under

paragraphs (a) to (c) but whose expulsion is impossible for legal

or factual reasons.

(4) Credit institutions that offer payment accounts with basic

features may refuse an application for such an account where a

consumer already holds a payment account with any credit institution

located in Malta, and when that account has at least the features set in

regulation 25(1), save where a consumer declares that the credit

institution with which the payment account is held has given notice in

writing that the payment account shall be closed.

(5) Before opening a payment account with basic features, a

credit institution may verify whether the consumer holds or does not

hold, with a credit institution located in Malta, a payment account

which has at least the features set out in regulation 25(1). A credit

institution may otherwise choose to rely on and accept a declaration

of honour signed by the consumer for that purpose.

(6) Notwithstanding the provisions of the Professional Secrecy

Act and other provisions contained in any other Maltese law, credit

institutions in Malta may, subject to the express written consent of the

consumer to this effect, exchange information with other credit

institutions which is reasonably required for the purpose of verifying

the information provided by their prospective consumers in terms of

sub-regulation (5).

(7) Credit institutions shall not introduce or implement any

policies or procedures which may directly or indirectly impose any

unnecessary, difficult, or burdensome restrictions or processes to

dissuade the consumer from exercising such rights as they arise under

this regulation.

Credit institutions offering a payment account with basic Obligation to

features shall provide detailed information about the application provide

information

process for the opening of a payment account with basic features. about

application

Such information shall include an application form, as well as a list of process.

any documents required to be submitted with the application. Such

information shall be made available online on the credit institution’s

website and, if so requested by the consumer, on a durable medium,

free of charge. It shall be the duty of the credit institution to keep such

information updated at all times.

Where an application for a payment account with basic Time-scale for

features is made by a consumer to a credit institution, the credit opening

payment

institution shall open or refuse to open the account without undue account

basic features.

delay, and no later than ten business days from recorded receipt of the

completed application.

(1) A credit institution shall refuse to open a payment Refusal of

account with basic features for a consumer where to do so would be application.

in breach of the Prevention of Money Laundering Act or of any Cap. 373.

regulations made thereunder or of procedures and guidance issued to

carry into effect the provisions of any such regulations and any other

applicable and enforceable provisions laid down in Maltese law

transposing Directive 2005/60/EC.

(2) Credit institutions shall ensure that they adopt appropriate

measures pursuant to Chapter III of Directive 2005/60/EC in regard to

cases or situations arising from sub-regulation (1).

(1) Where an application for a payment account with Consumer to be

basic features is refused, the credit institution shall immediately informed

writing about

inform the consumer in writing and free of charge of the refusal and refusal

application.

of the specific reason for that refusal, unless such disclosure would be

contrary to objectives of national security, public policy or Directive

2005/60/EC.

(2) Where notification of the reason for refusal is given in

accordance with sub-regulation (1), the credit institution shall advise

the consumer of the procedure for submitting a complaint to it and

provide details about the consumer’s rights to lodge a complaint with

the Office of the Arbiter for Financial Services.

A credit institution shall ensure that access to and Access to and

operation of a payment account with basic features is not made operation

payment

conditional on the purchase of any additional services or of shares in account.

the credit institution, unless the latter is conditional for all customers

of the credit institution.

(1) A payment account with basic features shall be a

payment account, denominated in euro, which at least allows

consumers to

(a)

open, operate, and close the account;

(b) place funds in the account which may include cash

and incoming credit transfers;

(c)

withdraw cash from the account within Member

States, including Malta

(i) at the counter of the publicly accessible

premises of the credit institution, whether located in Malta

or in any other branch located within Member States; and

(ii) at automated teller machines through a debit

card;

(d) execute the following payment transactions within

Member States, including Malta

(i)

direct debits;

(ii) payment transactions through

(i.i)

a debit card; and

(i.ii) a credit card, if additionally offered by

the credit institution as part of a payment account

with basic features;

(iii) credit transfers, including standing orders, at,

where available, terminals and counters and via the online

facilities of the credit institution.

(2) Credit institutions shall only be obliged to offer any of the

services listed in sub-regulation (1) as part of a payment account with

basic features, to the extent that they already offer them to consumers

holding any other type of payment account.

Payment accounts with basic features may also be offered

in the currency of any other Member State at the sole discretion of the

credit institution.

A payment account with basic features shall allow

consumers to execute an unlimited number of operations in relation to

the services set out in regulation 25(1).

A credit institution shall allow consumers to manage and

initiate payment transactions from the consumer’s payment account

with basic features

(a)

at its publicly accessible premises; and

(b)

via online facilities, where available.

A credit institution shall take all reasonable steps to

prevent consumers from carrying out any payment transaction using a

payment account with basic features where executing the transaction

would result in overrunning.

(1) A credit institution shall not charge any fee for the Associated fees.

services set out in regulation 25 when those services are provided as

part of a payment account with basic features except in the following

cases

(a)

services offered in regard to the opening and

operation of an account referred to in regulation 25(1)(a);

(b) credit transfers, including standing orders referred to

in regulation 25(1)(d)(iii), provided that a credit institution shall

determine a minimum number of operations, which shall in any

case be not less than ten unique operations per calendar month,

for which it shall not charge a fee. The fees charged for

operations above the credit institution’s minimum number of

operations shall never exceed the fees charged by the credit

institution under its standard pricing policy;

(c)

any services which may be executed by a credit

card.

(2) A credit institution, which applies a charge for services

referred to in sub-regulation (1), shall ensure that its fees for such

services are reasonable and, in any case, not higher than those

charged under its standard pricing policy.

(3) A credit institution may impose on the consumer a

reasonable penalty for any error or omission in regard to the use and

operation of a payment account with basic features. Such penalty

shall not exceed the average penalty charged by that credit institution

for similar errors and omissions in regard to other payment accounts

it provides.

(4) A credit institution may apply a reasonable fee for any

service set out in regulation 25(1) to a consumer where the payment

account with basic features is not denominated in euro. Such

reasonable fees shall not exceed the average fees charged by that

credit institution for similar services in regard to other similar

payment accounts it provides.

(5) When assessing whether charges and penalties levied by a

credit institution under this regulation are reasonable, the competent

authority shall, without prejudice to such other criteria it deems

appropriate, take into account national income levels and average fees

charged by other credit institutions for similar services.

(1) Without prejudice to sub-regulations (2) and (3),

framework contracts for the provision of a payment account with

basic features shall comply with the requirements of Directive 2007/

64/EC.

(2) (a) Without prejudice to any other law, a credit

institution may only unilaterally terminate a framework contract for

the provision of a payment account with basic features where at least

one of the following conditions is met

(i) the consumer has deliberately used the

payment account for illegal purposes;

(ii) there has been no transaction on the account,

save for any interest debited or credited from the account,

for more than twenty-four consecutive months;

(iii) the consumer provided incorrect information

when applying for the payment account with basic

features, and had the correct information been provided,

the application would have been refused;

(iv) the consumer is no longer legally resident in

Malta or in another Member State;

(v) the consumer has subsequently opened a

second payment account in Malta which allows for the use

of the services listed in regulation 25(1); and

(vi) the consumer failed to abide by the terms and

conditions of the payment account.

(b) Additional limited and specific cases where a

framework contract for a payment account with basic features may be

unilaterally terminated by credit institutions may be identified and

further prescribed by the Minister.

(3) Any termination in accordance with sub-regulation (2)(a),

(i) and (iii) shall have immediate effect.

(4) (a) Where a credit institution decides that it should

terminate a framework contract for a payment account with basic

features on one or more of the grounds mentioned in sub-regulation

(2)(a)(ii), (iv), (v) or (vi), the credit institution shall inform the

consumer of the grounds and the justification for termination

(i) at least two months before the termination

enters into force;

(ii) in writing, by means of registered mail and

recorded delivery mail to the last known address; and

(iii) free of charge.

(b) If, after three attempts by the credit institution to

inform the consumer of such termination, such attempts prove to be

futile or are rejected by the consumer, or if the consumer fails to act in

terms of the said notice, the payment service provider has the right to

terminate the framework contract within ninety days from the date of

the third notice.

(5) Where a credit institution decides that it should terminate a

framework contract for a payment account with basic features on one

or more of the grounds mentioned in sub-regulation (2)(a)(i) or (iii),

the credit institution shall, upon termination of the framework

contract, inform the consumer of the grounds and the justification for

termination in writing, by means of registered mail and recorded

delivery mail to the last known address.

(6) (a) The credit institution may withhold notification to a

consumer of the termination of a framework contract under this

regulation if it determines that in doing so would be contrary to the

objectives of national security or public policy.

(b) The credit institution shall keep proper records of its

decision for termination and any notifications thereto.

(7) Any notification given by the credit institution under sub-

regulation (4) shall advise the consumer of

(a)

the procedure for submitting a complaint to it

against the termination;

(b) the consumer’s right to contact the Office of the

Arbiter for Financial Services; and

(c)

the relevant contact details.

(1) The competent authority shall raise awareness

among the public about

(a)

the availability of payment accounts with basic

features and their general pricing conditions;

(b) the procedures to be followed in order to exercise

the right to access a payment account with basic features; and

(c)

the consumer’s right to complain to the Office of the

Arbiter for Financial Services where the consumer considers

that a credit institution has not complied with the requirements

of these regulations.

(2) The competent authority shall employ sufficient and well-

targeted communication media for the purposes of its obligations

arising from sub-regulation (1), particularly reaching out to the

unbanked, vulnerable and mobile consumers.

(3) Credit institutions shall make available to consumers, free

of charge, accessible information and assistance about

(a)

the specific features of the payment account with

basic features on offer; and

(b)

the associated fees and conditions of use.

(4) Credit institutions shall ensure that information and

assistance provided in accordance with sub-regulation (3) make it

clear that the purchase of additional services is not compulsory in

order to access a payment account with basic features.

PART 5

The Competent Authority

The competent authority shall be fully responsible for the

application and enforcement of these regulations. It shall also be the

contact point for the purpose of these regulations.

(1) The

competent

authority

shall

maintain

arrangements for the purpose of enabling it to determine whether

payment service providers upon which requirements are imposed by

or under

(a)

Part 2, 3, and 4; or

(b)

regulation 38

are complying with those requirements.

(2) The arrangements referred to in sub-regulation (1) may

provide for functions to be performed on behalf of the competent

authority by any person who is, in its opinion, competent to perform

them.

(3) The competent authority shall also maintain arrangements

for enforcing requirements imposed on, and taking action against,

persons other than the competent authority by or under these

regulations.

(1) Without prejudice to any powers and duties of co- Obligation to

operation arising under the Banking Act and the Financial Institutions cooperate.

Act, the competent authority shall

(a)

cooperate closely with authorities in other Member

States for the purpose of carrying out duties under these

regulations;

(b) render assistance to other authorities in other

Member States and in particular, it shall exchange information

and cooperate in any investigation or supervisory activities;

(c)

without undue delay, supply other authorities in

other Member States with the information required for the

purpose of carrying out their duties as set out in the measures

adopted pursuant to the Payment Accounts Directive

Provided that the competent authority may indicate

that the information being exchanged must not be disclosed

without its express agreement. In such case, information shall

be exchanged solely for the purpose for which the competent

authority gave its agreement.

(2) Without prejudice to any powers and duties of co-

operation arising under the Banking Act and the Financial Institutions Cap. 371.

Act, where the competent authority receives information from other

authorities in other Member States under the Payment Accounts

Directive, and where such authorities indicate to the competent

authority, at the time of communication, that such information must

not be disclosed without their express agreement, the competent

authority shall not disclose any such information without the express

agreement of the authority providing the information. In such case,

such information may be exchanged solely for the purposes for which

those authorities gave their agreement.

(3) Without prejudice to any powers and duties of co-

operation arising under the Banking Act and the Financial Institutions

Act, the competent authority may transmit information received from

authorities in other Member States to other authorities established in

other Member States

Provided that any such information shall, except in duly

justified circumstances

(a)

not be transmitted to other bodies or natural or legal

persons without the express agreement of the authority which

disclosed the information;

(b) be transmitted solely for the purposes for which the

authority disclosing the information gave its consent

Provided further that where the competent authority, in

duly justified circumstances, transmits information to other

authorities without the express agreement of the authority disclosing

the information or where such transmission is not solely for the

purposes for which the authority disclosing the information gave its

consent, the competent authority shall immediately inform the contact

point that supplied the information.

(4) The competent authority may refuse to act on a request for

cooperation in carrying out an investigation or supervisory activity, or

to exchange information as provided for in sub-regulations (1)(c) and

(3), only where

(a)

such an investigation, on-the-spot verification,

supervisory activity or exchange of information might adversely

affect the sovereignty, security or public policy of Malta;

(b) judicial proceedings have already been initiated in

Malta in respect of the same actions and the same persons;

(c)

final judgement in respect of the same persons and

the same actions has already been delivered in Malta.

(5) In the event of refusal in terms of sub-regulation (2), the

competent authority must notify the requesting authority accordingly

whilst providing as detailed information as possible.

(1) The competent authority may refer the situation to

the EBA where a request for cooperation, in particular, the exchange

of information, has been rejected or has not been acted upon within a

reasonable time, and may request EBA’s assistance in accordance

with Article 19 of Regulation (EU) No 1093/2010.

(2) Any binding decision made by EBA in accordance with

Article 19 of Regulation (EU) No 1093/2010 further to a referral by

the competent authority in accordance with sub-regulation (1), or to a

referral by an authority of another Member State in accordance with

Article 23 of the Payment Accounts Directive, shall be binding on the

competent authority.

(1) A payment service provider shall give the competent Reporting

authority such information in respect of its compliance with the requirements.

requirements imposed on it by these regulations as the competent

authority may direct.

(2) Information required under this regulation shall be given at

such times and in such form, and verified in such manner, as the

competent authority may direct.

(1) The competent authority may issue a directive to a Power to issue

payment service provider to take such steps as are necessary for the directives.

purposes of securing compliance with the requirements as set out in

these regulations.

(2) A directive under sub-regulation (1) may, in particular,

require the payment service provider to

(a)

take specified action;

(b)

refrain from taking specified action;

(c)

review or take remedial action in respect of past

conduct.

(3) A payment service provider to which a directive under sub-

regulation (1) is given shall comply with the directive.

(1)

A directive given under regulation 38(1) shall take Power to issue

directives

effect

procedure.

(a)

immediately, if the notice given under sub-

regulation (3) states that this is the case; or

(b)

on such date as may be specified in the notice.

(2) If the competent authority issues a directive to a payment

service provider under regulation 38, or issues a directive with

immediate effect, it shall give the payment service provider written

notice.

(3) The notice referred to in sub-regulation (2) shall

(a)

give details of the directive;

(b) state the competent authority’s reasons for giving

the directive;

(c)

inform the payment service provider by when to

implement and, or be compliant with the directive; and

(d) inform the payment service provider of the right to

refer a matter to the Tribunal in accordance with regulation 43.

(1) The competent authority may issue rules to payment

service providers for the purpose of these regulations.

(2) Such rules may contain such incidental, supplementary and

consequential provisions as appear to the competent authority to be

expedient for the purpose of these regulations.

(1) Without prejudice to any other provision of these

regulations, the competent authority may impose an administrative

penalty not exceeding one hundred and fifty thousand euro

(€150,000) on a payment service provider that has contravened a

requirement imposed upon it by or under these regulations.

(2) Where an administrative penalty has been imposed by the

competent authority in terms of this regulation, an appeal shall lie to

the Tribunal in accordance with regulation 43.

(3) Where the competent authority decides to impose an

administrative penalty, it shall notify the person on whom the penalty

is being imposed by means of a notice in writing.

(4) Where the person upon whom the notice referred to in sub-

regulation (3) is served

(a)

fails to pay to the competent authority the amount of

the penalty within a period of thirty days of the service of the

notice, and fails to appeal from the decision of the competent

authority to the Financial Services Tribunal; or

(b) appeals to the Financial Service Tribunal and fails

within a period of fifteen days from the decision of the Tribunal

to pay the administrative penalty as confirmed or as reduced by

that Tribunal,

then, in every case, the amount of the administrative penalty, as

originally imposed or as reduced, as the case may be, shall be due to

the competent authority as a civil debt, and the provisions of sub-

regulation (5) shall apply.

(5) A notice as is referred to in sub-regulation (3), or the

decision of the Financial Services Tribunal, as the case may be, shall,

upon the service by judicial act of a copy thereof on the person

indicated in the notice, constitute an executive title for all effects and

purposes of Title VII of Part I of Book Second of the Code of Cap. 12.

Organization and Civil Procedure.

(6) The imposition by the competent authority of an

administrative penalty in terms of this regulation shall be without

prejudice to any other consequences of the act or omission of the

offender under civil or criminal law

Provided that in all cases where the competent authority

imposes an administrative penalty in respect of anything done or

omitted to be done by any person and such act or omission also

constitutes a criminal offence, no proceedings may be taken or

continued against the said person in respect of such criminal offence.

(1) If the competent authority considers that a payment Public notice.

service provider has contravened any provisions of these regulations

or has contravened or failed to comply with any condition, obligation,

requirement, Rules, directive or order made or given under any of the

provisions of these regulations, the competent authority may publish

a statement to that effect.

(2) The competent authority may require the payment service

provider concerned to pay all the expenses of, and incidental to, the

publication or issue of public statements or notices pursuant to this

regulation, or such part thereof as it may deem appropriate; and any

sum so due shall be recoverable by the competent authority in the

same manner as an administrative penalty imposed under these

regulations.

(3) The competent authority may, by means of a public

statement, disclose the name of the person sanctioned, the particular

breach of the provision of these regulations or Rules issued

thereunder, and the penalty or administrative measure imposed. The

competent authority shall withhold such public disclosure where it

deems that such disclosure would be of detriment to the interests of

consumers or cause disproportionate damage to the parties involved.

A payment service provider who is aggrieved by any Right to refer

matter to the

decision of the competent authority under these regulations may refer Tribunal.

the matter to the Tribunal and the provisions of article 10 of the

Banking Act and article 21 of the Financial Institutions Act shall Cap. 371.

apply mutatis mutandis.

(1)

Further to any Rules which the competent authority

may issue from time to time, payment service providers shall have

their own internal complaints-handling procedures, which should be

made available to their consumers at all time and free of charge.

(2) Following the investigation of the complaint by the

payment service provider, the final response should be provided to the

consumer within fifteen days after receipt of the complaint.

(3) In the event that the consumer does not accept the redress

proposed by the payment service provider or where a complaint has

not been upheld, the payment service provider is required to notify

the consumer of the right to lodge a complaint in writing with the

Office of the Arbiter for Financial Services.

The competent authority shall provide the European

Commission with information on the following, for the first time by

18th September 2018 and thereafter at intervals not exceeding two

years

(a)

compliance by payment service providers with

regulations 4, 7 to 10, and 12;

(b) compliance by the same competent authority with

the requirements of regulation 13;

(c)

the number of payment accounts that have been

switched;

(d) the proportion of applications for switching that

have been refused;

(e)

the number of credit institutions offering payment

accounts with basic features;

(f)

the number of payment accounts with basic features

that have been opened and closed; and

(g) the proportion of applications for payment accounts

with basic features that have been refused.