FAQ

Question
Authorisation. Credit and payments market
	Banks and specialised banks
	Is a bank authorised to refuse to provide services to consumers or businesses?
	Is an institution that has obtained a banking licence in Lithuania obliged to provide banking services in Lithuania?
	Is a bank authorised to outsource part of its functions?
	Is a bank authorised to provide services in other EU Member States?
	Can the capital of the bank being established be formed from funds raised during an ICO?
	Is it necessary to form the capital of the bank being established prior to applying for a licence?
	Can I establish a payments bank?
	Is a specialised bank authorised to provide any financial services?
	Is the applicant obliged to submit a recovery plan?
	Can only citizens of the Republic of Lithuania who permanently reside in Lithuania become directors of a bank?
	Payment institutions and electronic money institutions
	What are the main requirements on the implementation of the internal audit function in electronic money and payment institutions?
	Can an electronic money or payment institution established in Lithuania and having a branch in another Member State carry out its activities in the branch only?
	In which cases may an electronic money or payment institution licence be withdrawn?
	Can the same persons be shareholders of more than one electronic money or payment institution in Lithuania?
	Can the initial capital of an electronic money or payment institution be formed later, i.e. after the institution has started operating and obtained the relevant licence?
	Is a licenced electronic money or payment institution authorised to open a branch or to operate as a non-established institution in a non-Member State? Where can I find information regarding the applicable requirements?
	Is a licenced electronic money or payment institution authorised to provide ancillary services related to payment services?
	What are the requirements for the management body of an electronic money or payment institution?
	What is the difference between an electronic money or payment institution licence for restricted activity and a standard electronic money or payment institution licence?
	Is an entity being established required to provide its articles of association or draft articles of association when submitting an application for an electronic money or payment institution licence?
	Should the management body of an electronic money or payment institution reside in Lithuania (meaning that they are present on-site)?
	A payment or electronic money institution must provide evidence to show that its minimum initial capital is not lower than the amount that has been established by law. Which documents are considered as valid evidence regarding the initial capital amount?
	Which documents a company has to submit to the Bank of Lithuania in order to be granted an electronic money or payment institution licence?
	Is an electronic money or payments institution obliged to have a supervisory board in place?
	Which main by-laws regulate the procedure for issuing (or replacing) an electronic money or payment institution licence?
	Can a legal entity being established apply for an electronic money or payment institution licence? What is the timeframe for registering a legal entity after the issuance of a licence?
	Other credit and payments market participants
	Does the Bank of Lithuania provide sample copies of the responsible lending and borrowing rules, business model description, business continuity plan or other documents?
	Does a consumer credit provider have to inform the Bank of Lithuania about new dependent intermediaries of the consumer credit provider?
	Is a supervisory board member of a consumer credit provider or a peer-to-peer lending platform operator considered as the director of that provider or operator?
	Does an individual, a consumer credit provider, or a peer-to-peer lending platform operator aiming to acquire shares of a crowdfunding platform operator have to submit an application to approve of the acquisition if the share of the crowdfunding platform operator which they plan to acquire amounts to less than 20% of the voting rights and/or the initial capital?
	Dependent and independent credit intermediaries acting under the Law on Real Estate Related Credit are obliged to have a document which confirms the existence of professional indemnity insurance for their undertaking with a minimum monetary value of €460,000 for each individual claim and a total value of €750,000 for all claims for a calendar year. Do the legal acts provide for any exceptions as regards to the indemnity amount?
	Can a consumer credit provider submit an application to include it in the Public List of Consumer Credit Providers after the Bank of Lithuania has removed it from the list?
	If a consumer credit provider or a peer-to-peer lending platform operator has not conducted any activities for more than six months, does it have to submit an application to be removed from the list?
	Do legal acts provide for a consumer credit provider, a peer-to-peer lending platform operator, or a crowdfunding platform operator to carry out their activities in another Member State after being included in the list?
	Is a legal person who is aiming to be included in the Public List of Consumer Credit Providers or Peer-to-peer Lending Platform Operators obliged to have their head office in the Republic of Lithuania?
	Do I need to fill out any specific application to be included in the Public List of Independent Consumer Credit Intermediaries or Intermediaries Acting under the Law on Real Estate Related Credit?
	Agents of electronic money and payment institutions and electronic money distributors
	What is the key difference between an EMI or PI agent and electronic money distributor?
	Does an electronic money distributor to be engaged by an EMI need to be included in the Public List of Electronic Money Institutions?
	When filing an application with the Bank of Lithuania with regard to an agent to be engaged by an EMI or a PI, does information on the agent’s management have to be provided?
	Which subordinate legislation of the Republic of Lithuania regulates the procedure for inclusion of EMI and PI agents into the Public List of Electronic Money and Payment Institutions, for notifications to foreign supervisory authorities of the intention to issue, distribute and redeem electronic money and to provide payment services in other Member States?
	What are the preparatory actions to be taken by an EMI or a PI before applying for inclusion of an agent in the Public List of Electronic Money and Payment Institutions?
	What are the preparatory actions to be taken by an EMI before engaging an electronic money distributor?
	Who is responsible for payment services provided through agents or for activities of electronic money distributors?
	What actions should be taken by an EMI or PI if it finds that an agent or an electronic money distributor is acting on behalf of the institution without complying with legislative requirements?
	In what way should consumers be informed that payment services are provided through agents or that electronic money distributors are engaged?
	What requirements for customer information are applicable to EMI or PI when activities are carried out through agents or electronic money distributors?
	What actions must be taken by an EMI or PI when it ceases to operate through an agent and wishes to exclude the agent from the Public List of Electronic Money and Payment Institutions, or when it ceases to operate through an electronic money distributor?

Banks and specialised banks

Is a bank authorised to refuse to provide services to consumers or businesses?

Is an institution that has obtained a banking licence in Lithuania obliged to provide banking services in Lithuania?

Is a bank authorised to outsource part of its functions?

Is a bank authorised to provide services in other EU Member States?

Can the capital of the bank being established be formed from funds raised during an ICO?

Is it necessary to form the capital of the bank being established prior to applying for a licence?

Can I establish a payments bank?

Is a specialised bank authorised to provide any financial services?

Is the applicant obliged to submit a recovery plan?

Can only citizens of the Republic of Lithuania who permanently reside in Lithuania become directors of a bank?

Payment institutions and electronic money institutions

What are the main requirements on the implementation of the internal audit function in electronic money and payment institutions?

Can an electronic money or payment institution established in Lithuania and having a branch in another Member State carry out its activities in the branch only?

In which cases may an electronic money or payment institution licence be withdrawn?

Can the same persons be shareholders of more than one electronic money or payment institution in Lithuania?

Can the initial capital of an electronic money or payment institution be formed later, i.e. after the institution has started operating and obtained the relevant licence?

Is a licenced electronic money or payment institution authorised to open a branch or to operate as a non-established institution in a non-Member State? Where can I find information regarding the applicable requirements?

Is a licenced electronic money or payment institution authorised to provide ancillary services related to payment services?

What are the requirements for the management body of an electronic money or payment institution?

What is the difference between an electronic money or payment institution licence for restricted activity and a standard electronic money or payment institution licence?

Is an entity being established required to provide its articles of association or draft articles of association when submitting an application for an electronic money or payment institution licence?

Should the management body of an electronic money or payment institution reside in Lithuania (meaning that they are present on-site)?

A payment or electronic money institution must provide evidence to show that its minimum initial capital is not lower than the amount that has been established by law. Which documents are considered as valid evidence regarding the initial capital amount?

Which documents a company has to submit to the Bank of Lithuania in order to be granted an electronic money or payment institution licence?

Is an electronic money or payments institution obliged to have a supervisory board in place?

Which main by-laws regulate the procedure for issuing (or replacing) an electronic money or payment institution licence?

Can a legal entity being established apply for an electronic money or payment institution licence? What is the timeframe for registering a legal entity after the issuance of a licence?

Other credit and payments market participants

Does the Bank of Lithuania provide sample copies of the responsible lending and borrowing rules, business model description, business continuity plan or other documents?

Does a consumer credit provider have to inform the Bank of Lithuania about new dependent intermediaries of the consumer credit provider?

Is a supervisory board member of a consumer credit provider or a peer-to-peer lending platform operator considered as the director of that provider or operator?

Does an individual, a consumer credit provider, or a peer-to-peer lending platform operator aiming to acquire shares of a crowdfunding platform operator have to submit an application to approve of the acquisition if the share of the crowdfunding platform operator which they plan to acquire amounts to less than 20% of the voting rights and/or the initial capital?

Dependent and independent credit intermediaries acting under the Law on Real Estate Related Credit are obliged to have a document which confirms the existence of professional indemnity insurance for their undertaking with a minimum monetary value of €460,000 for each individual claim and a total value of €750,000 for all claims for a calendar year. Do the legal acts provide for any exceptions as regards to the indemnity amount?

Can a consumer credit provider submit an application to include it in the Public List of Consumer Credit Providers after the Bank of Lithuania has removed it from the list?

If a consumer credit provider or a peer-to-peer lending platform operator has not conducted any activities for more than six months, does it have to submit an application to be removed from the list?

Do legal acts provide for a consumer credit provider, a peer-to-peer lending platform operator, or a crowdfunding platform operator to carry out their activities in another Member State after being included in the list?

Is a legal person who is aiming to be included in the Public List of Consumer Credit Providers or Peer-to-peer Lending Platform Operators obliged to have their head office in the Republic of Lithuania?

Do I need to fill out any specific application to be included in the Public List of Independent Consumer Credit Intermediaries or Intermediaries Acting under the Law on Real Estate Related Credit?

Agents of electronic money and payment institutions and electronic money distributors

What is the key difference between an EMI or PI agent and electronic money distributor?

Does an electronic money distributor to be engaged by an EMI need to be included in the Public List of Electronic Money Institutions?

When filing an application with the Bank of Lithuania with regard to an agent to be engaged by an EMI or a PI, does information on the agent’s management have to be provided?

Which subordinate legislation of the Republic of Lithuania regulates the procedure for inclusion of EMI and PI agents into the Public List of Electronic Money and Payment Institutions, for notifications to foreign supervisory authorities of the intention to issue, distribute and redeem electronic money and to provide payment services in other Member States?

What are the preparatory actions to be taken by an EMI or a PI before applying for inclusion of an agent in the Public List of Electronic Money and Payment Institutions?

What are the preparatory actions to be taken by an EMI before engaging an electronic money distributor?

Who is responsible for payment services provided through agents or for activities of electronic money distributors?

What actions should be taken by an EMI or PI if it finds that an agent or an electronic money distributor is acting on behalf of the institution without complying with legislative requirements?

In what way should consumers be informed that payment services are provided through agents or that electronic money distributors are engaged?

What requirements for customer information are applicable to EMI or PI when activities are carried out through agents or electronic money distributors?

What actions must be taken by an EMI or PI when it ceases to operate through an agent and wishes to exclude the agent from the Public List of Electronic Money and Payment Institutions, or when it ceases to operate through an electronic money distributor?

Ask