Lithuania payment institution licence.

What you get

How we get you licensed and live

1. Scoping and proposal. We confirm the payment services, the choice between a full and a restricted licence, the capital and the state levy in a written proposal, and arrange a Newcomer Programme meeting with the Bank of Lithuania before filing.
2. Application pack. The document set in the licensing rules’ annexes, the governance and internal audit arrangements, professional indemnity insurance where required and the shareholder and manager files so the five-business-day completeness check passes first time.
3. Banking. The safeguarding account with a Lithuanian or EU credit institution and the operating and settlement accounts, opened alongside the application, with the CENTROlink access application prepared at the same time.
4. Regulator engagement. We answer each deficiency and comment round, with shareholder and manager fitness evidenced in depth because the Bank of Lithuania assesses it closely, until its Board takes the decision.

Your team, banking and technology

You will need directors and senior managers with a good reputation and experience, an internal auditor, and control roles held outside the board.

One programme, from scoping to launch. Speak to an expert about this licence.

Who needs the licence

A business providing a payment service in Lithuania or, through passporting, in the EU and EEA needs a Bank of Lithuania licence. A business that will also hold customer balances applies for an EMI licence instead.

What the Bank of Lithuania requires

• Legal form and location. A company with its registered office and head office in Lithuania; the absence of a Lithuanian office is a statutory ground for refusal.
• Governance. Managers of good repute and experience; supervisory and managerial functions separated; an appointed internal auditor; control functions outside the board; outsourcing clearly contracted, under the Bank of Lithuania’s governance principles.
• Safeguarding. Segregation in a separate account with a Lithuanian or EU credit institution or central bank, or low-risk assets; or insurance, a guarantee or a surety from an unaffiliated provider.
• Application pack. The document set in the licensing rules’ annexes, with the state levy paid to the tax inspectorate before filing; a Newcomer Programme meeting with the Bank of Lithuania on request; a five-business-day completeness check; a Board decision.
• Capital. Initial capital by service and own funds thereafter equal to the higher of that and Method A, B or C, with at least 75% of Tier 1 in common equity and a 20% adjustment at the supervisor’s discretion.
• Professional indemnity insurance. For payment initiation and account information services.

Capital

The supervisor may vary the own funds requirement by 20% either way.

Timing

Regulator figures are quoted as published and converted to months. Our realistic timeline assumes a complete, well-prepared application.

Fees and costs

Restricted-activity licence

A firm whose payment volume stays below €3 million a month, providing services other than payment initiation and account information, may hold a restricted licence valid in Lithuania only, without initial capital or shareholder fitness tests. Account-information-only providers hold a separate licence exempt from capital and safeguarding.

Passporting and scope

A Lithuanian payment institution’s full licence is valid in other Member States; branches, agents and cross-border services are notified to the Bank of Lithuania. The restricted licence carries no passport.

Why applications are delayed

The Bank of Lithuania publishes its reasons.

1. Documents that do not comply with the licensing rules or lack required data.
2. Capital or fitness shortfalls among shareholders and managers; it has refused licences on reputational grounds and published the decisions.
3. Business plans beyond the founders’ demonstrated capacity.

Your bank accounts

A payment institution needs a safeguarding account, an operating account and settlement accounts in the currencies it serves. We open each alongside the application, so you trade from authorisation. See banking and payment processing.

Common questions

References

1. Bank of Lithuania: authorisation of electronic money institutions
2. Bank of Lithuania: authorisation of payment institutions
3. Bank of Lithuania: EMI prudential requirements
4. Bank of Lithuania: PI prudential requirements
5. Bank of Lithuania: supervisory fee rates
6. Bank of Lithuania: Newcomer Programme
7. Law on Payment Institutions

This guide is general information, not legal advice. Requirements and fees change, and the regulator’s own publications take precedence.