Provider of multiple Payment Services

How will domestic/cross-border money and e-money transfers be affected by the Payment Services (Amendment) Act?

According to MAS (Speeches)
last revised on 04 January 2021

The [PS (Amendment) Act] will also pre-emptively address ML/TF risk that is outside of the DPT space. The [PS (Amendment) Act] will broaden the definition of cross-border money transfer service to include facilitating transfers of money between persons in different jurisdictions, where money is not accepted or received by the service provider in Singapore. That way, such service providers will come under the regulatory ambit of MAS even if the moneys do not flow through Singapore[...]

[T]he PS Act currently accords protection to consumers, whether they are payers or payees, during a domestic money transfer. As financial institutions are sophisticated entities that can protect themselves, the Act carves out the situation where a financial institution is part of the transaction. However, that means that an individual involved in a domestic money transfer transaction with a financial institution is not accorded protection under the Act. The [PS (Amendment) Act] will therefore broaden the scope of protection of the PS Act, to carve out only situations where both payer and payee are financial institutions.