A safeguarding account operates as a segregated account to keep clients’ funds separated from a company’s working capital. Obtaining a safeguarding account is compulsory for Electronic Money Institutions (EMIs) and Payment Institutions (PIs). A safeguarding account can only be set up with a bank.
A safeguarding account blocks any third-party access to the funds inside and segregates the clients’ funds to be fully secured. It protects the clients and guarantees the security of the funds in a potential event of insolvency. Thus, a safeguarding account is one of the primary requirements for acquiring a Payment Institution and Electronic Money Institution license.
A safeguarding account can only be set up with a bank, such as EMBank. Please contact EMBank for further information.