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Polish SPI (Small Payment Institution) Explained
What is a Small Payment Institution (SPI) in Poland?
Introduced alongside the Polish Payment Services Act update, the SPI is a regulatory framework designed for businesses offering limited payment services. It acts as a “sandbox” for entrepreneurs, particularly FinTech startups, to test and refine their payment service models within a controlled environment.
What services can an SPI provide?
- Account Management: Opening and managing payment accounts, including deposits, withdrawals, and account operations.
- Payment Processing: Facilitating various payment transactions:
- Direct debits (one-time and recurring);
- Card payments and similar contactless methods;
- Credit transfers (one-time and standing orders);
- Payments using credit lines (including direct debits, card payments, and credit transfers).
- Payment Instruments: Issuing payment instruments (like cards) and acquiring payment transactions.
Limitations of an SPI:
- Transaction Volume: The total value of payment transactions processed by the SPI in the preceding 12 months cannot exceed €1,500,000 per month. Exceeding this limit requires converting to a “full” National Payment Institution (NPI).
- Fund Storage: The total amount of user funds held in payment accounts by the SPI cannot exceed the equivalent of €2,000 in Polish currency.
- Geographic Scope: The SPI’s operations are restricted to within Poland.
Benefits of Obtaining an SPI License:
- The application process for an SPI license is less complex compared to full NPI licenses.
- The SPI framework allows startups to test their payment service concepts in a regulated environment before scaling up.
Requirements for Obtaining an SPI License:
- Application for entry in the Polish SPI register.
- Presentation outlining the planned payment services:
- A visual flowchart depicting the payment service process;
- Identification of entities involved and the flow of funds and information.
- Payment of a stamp duty of PLN 616.
Considering an SPI license?
The Polish Small Payment Institution framework offers FinTech startups and entrepreneurs a valuable opportunity to experiment and refine their payment service ideas within a regulated environment. However, the limitations on transaction volume, fund storage, and geographic scope are important factors to consider when choosing this path.
International Fintech Business (IFB) can help you enter the fintech industry. We can help you incorporate a company with an SPI license in Poland. IFB also provides a diverse selection of ready-made companies with these licenses for sale. Our experts can help answer any questions you may have. Contact us today!
