Nature of Point-of-Sale (POS) Terminals
What user protection requirements are payment kiosks providers subject to?
According to MAS (PS Act Essential Aspects)
Major Payment Institutions and exempt payment service providers are required to safeguard customer money from their insolvency in respect of domestic money transfer service, cross-border money transfer service, merchant acquisition service and e-money issuance service (for specified e-money). These entities are required to safeguard customer money for these services using any of the following means:
a) an undertaking from a bank in Singapore, a merchant bank or a finance company;
b) a guarantee from a bank in Singapore, a merchant bank, a finance company, or a financial guarantee insurer;
c) a deposit in a trust account held with a bank, merchant bank or finance company; or
d) safeguarding in such other manner as may be prescribed by MAS.
Standard Payment Institutions are not subjected to these safeguarding measures, and must alert customers so they can make informed decisions.