NBU increases fine for violations in payment services

The National Bank of Ukraine has updated the procedure for imposing requirements and applying enforcement measures to payment infrastructure supervision objects and increased fines for violations  in payment services.

This was reported on the official website of the National Bank of Ukraine, UNN reports.

Details [1

Reportedly, the purpose of the update is to bring this procedure in line with current legal requirements. Among the main changes, the NBU has clarified the list of entities supervised by the NBU.

In particular, this includes payment service providers and issuers (those who issue electronic money).

The NBU has also increased the amount of fines that may be imposed on a supervised entity if it violates Ukrainian legislation on payment services.

In addition, the NBU has defined more clearly the term “material errors” when submitting statistical reports to the National Bank.Under the new rules, the National Bank of Ukraine has established: 

1. If the supervised entity fails to comply with the NBU’s requirements or decisions, the bank may reapply enforcement measures to it, even if it has already imposed penalties before. 

2. The start of an administrative case on violations by the facility is now clearly defined by a specific date. 

3. The decision to impose a fine shall take effect from the moment it is officially communicated to the violator. 

4. Representatives of payment infrastructure facilities will be summoned to the hearing at least two days before the meeting. 

5. A clear procedure for reviewing appeals and applications during administrative procedures has been established.

6. The rules for exchanging documents and recording case materials have been regulated to make the process more transparent and understandable.

Recall 

The National Bank of Ukraine denied information about blocking bank accounts for frequent cash withdrawals. Banks verify clients only within the framework of financial monitoring legislation.