Regulation
François Cosnier avatar
Written by François Cosnier
Updated over a week ago

iBanFirst is a payment institution (as per the European directive PSD2) licensed by the National Bank of Belgium since 2013 under registration number 0849.872.824.

iBanFirst is authorized to operate in 30 countries of the European Economic Area, as per the free provision of services European directive.

As a licensed payment institution, iBanFirst is authorized to:

  • Manage accounts

  • Receive and execute payments

  • Execute currency conversions linked to payments

  • Setup foreign currency risk hedges linked to payments

  • Grant loans linked to payments

  • Connect to bank accounts (AISP)

  • Initiate payments from bank accounts (PISP)

PSD2 strictly regulates how payment institutions, such as iBanFirst, operate and manage client funds and payments.

Funds, for instance, must be segregated from the payment institution's own funds and held at a custodian bank. Cash reserve must be held to guarantee the payment institution's solvency. Both measures guarantee that, in the unlikely event of a payment institution's insolvency, client funds would remain safe and secure and would be returned to the clients.

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