Country _ Name
Payment services
FinTechs belonging to this category offer alternative payment services which are supposed to provide a faster and cheaper way for national, European, and international payments for private and business customers by using new technologies.

For example, payment service providers hereby offer solutions to easily integrate several payment services in online shops.

Some FinTechs furthermore provide real cash register systems and online-reservation solutions for restaurants and shops providing their own payment services or making use of the payment services of FinTechs described above.


Attitude of the country towards modern payment services

Payment services provided by FinTechs have helped to reduce payment costs and security in payments. Use of FinTech providers is becoming more and more popular in Spain since they facilitate economic online transactions.

Customer authentication regulated by Directive 2015/2366 has been applied in Spain in September 2019 and has helped to make safe payments online and therefore has contributed to an increase of online sales.  

COVID has affected a quick growth of online sales and therefore of a more widespread use of payment services. 

Legal affairs

Obligations and requirements to provide payment services or ancillary services described above

FinTechs that offer payment services are regulated by Royal Decree Law 19/2018 of 23 November on Payment Services (“LPS“) which implemented the European Payment Service Directive 2015/2366 EU (“PSD“). Also, Decree (EU) 2018/389 is applicable to these services in Spain. According to Spanish law, payment services include (i) services enabling cash to be placed on a payment account, as well as all the operations required for operating a payment account; (ii) services enabling cash withdrawals from a payment account, as well as all the operations required for operating a payment account; (iii) execution of payment transactions, including transfers of funds on a payment account with the user’s payment service provider or with another payment service provider; (iv) execution of payment transactions where the funds are covered by a credit line for a payment service user; (v) issuing and acquiring of payment instruments; (vi) money remittance; and (vii) payment initiating service; and (viii) account information service.

To provide payment services in Spain, a firm must fall within the definition of a “payment service provider”, which includes credit entities, electronic money operators, payment service providers, Sociedad Estatal de Correos y Telégrafos, SA (the national postal service of Spain), the Bank of Spain, and the Spanish general government administration, regional and local authorities.

A firm that provides payment services in or from Spain as a regular business (and is not exempt) must apply for registration as a payment institution at the Bank of Spain. Also, it must be registered at the Spanish Commercial Registry. Sanctions may be imposed on any individual or legal person providing payment services without being authorised to act in Spain as a payment service provider.

Generally, payment service providers are subject to requirements concerning:

  • Minimum share capital that may range from €20,000 to €125,000.
  • Suitability of shareholders, directors and managers; directors, managing directors and holder of other similar positions in financial institutions are subject to suitability, experience and honourability requirements.
  • Corporate governance and internal control systems.
  • Anti-money laundering policies.
  • Customer services.

Additional comments regarding the legal



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