Electronic Money Institution License in Lithuania
Advantages of EMI License in Lithuania
Lithuania became a hub for many well-known electronic money institutions due to transparent and cutting-edge legislation, ease of doing business and its location. Main advantage of having EMI license in Lithuania are:
• The minimum amount of the authorized capital for the establishment of electronic money institution – 350 000 EUR.
• A license issued in Lithuania may be recognized in other countries of the European Economic Area (EEA). In other words, a license issued in Lithuania allows an electronic money institution to operate in other EEA countries after the notification procedure.
• Electronic money institutions can join the SEPA payment infrastructure and offer their customers personal accounts with IBAN codes.
• The license for the establishment of electronic money can be issued within 3 months (about 6-9 months faster than in other EEA countries).
• All license documents can be submitted in English.
• The Bank of Lithuania offers the opportunity to test a business idea in a real environment without obtaining full authorization (the “regulatory sandbox” mode). The main difference is that the establishment of electronic money, leading a limited activity, does not require a minimum equity capital.
EMI in Lithuania – Services
Having own electronic money institution in Lithuania will allow you:
– To issue electronic money;
– To verify customers without presence, remotely;
– To execute direct debits including one-off direct debits;
– To execute payments through a payment card;
– To execute standing orders;
– Account information services;
– And money other (please contact us to get more detailed information).
EMI License in Lithuania – Procedure
The very first step is to analyze the project and business-model. We will analyze and verify whether it is reasonable and possible to apply for EMI license in Lithuania. Afterwards we’ll assist you to prepare all required documents and assist with registration of a new or expansion of the existing company. It requires the collection of constituent documents, personal data of all investors and shareholders. Then goes opening an account with registered capital. This is a necessary procedure even for those who already have corporate accounts in other countries.
Then we will assist you with collection of documentation and bringing the package in accordance with the regulations of Lithuania. The process includes translation, reconciliation of data for legal errors, as well as certification of interpreted forms and copies.
Finally we submit all packages to Central Bank of Lithuania. On average the whole process takes ca 5 months.
Further assistance for running EMI might be also provided from our side.
EMI licensing in Lithuania is one of the fastest and easiest options in comparison with other EU member states. State fee for license issuance is just 1448 EUR.
We have successfully assisted more than 10 companies to get their EMI licenses in Lithuania.
Please contact our specialists to get more information on licensing procedures, requirements for management board/shareholders and costs.
Licensing specialized bank – Update
Since January 1, 2017, a new regime has been applied to specialized banks in Lithuania. This mode can be used for payment institutions and electronic money institutions that are considering the possibility of expanding the scope of their services and improving the security of their customers.
The minimum authorized capital for a specialized bank is 1,000,000 EUR (for comparison, a fully serviced bank is 5,000,000 EUR).
The license of a specialized bank may be recognized in other EEA countries.
Services allowed for specialized banks
• Issuance of electronic money
• Payment services
• Lending, including mortgage
• Acceptance of deposits and other repayable funds
• Financial leasing
• Issuance and implementation of other means of payment
• Financial intermediation
• Credit inquiry services
• Safe storage services
• Currency exchange
Specialized banks are not allowed to provide investment services, engage in asset management activities or other activities of a similar nature.