NPI is a national payment institution that can provide a full range of payment services. Unlike an SPI (small payment institution), an NPI registered in Poland can operate throughout the European Union without the need for additional licensing. Accordingly, the extension of the SPI licence to NPI allows to significantly expand the scope of activities and increase the number of services provided. Licensing of financial institutions in Poland is handled by the Financial Supervision Authority (KNF).
Business features and benefits of an NPI licence
As mentioned above, NPI can provide payment services throughout the EU, so its activities are more strictly regulated. But the possibilities of the national payment institution are also broader. Among them we can mention:
- wider range of services provided;
- absence of statutory limits on transactions;
- absence of restrictions on the amount of funds stored on the client’s account.
It is possible to expand the capabilities of a small payment institution by applying for an NPI licence both immediately after its registration/purchase and in the course of its operation. In accordance with legal requirements, SPIs are obliged to apply for an NPI licence as soon as their transaction limits exceed EUR 1,500,000 per month. The filing period is 30 days. The SPI can then immediately operate as an NPI without waiting for formal confirmation of the updated status throughout the application process and beyond.
