Knowledge & Insights

The MAS has issued a consultation paper on “Proposed Amendments to Restrictions on Personal Payment Accounts that Contain E-Money” on 18 October 2022. The proposed amendments would raise the existing stock cap (from S$5,000 to S$20,000) and flow cap (from S$30,000 to S$100,000) applicable to personal payment accounts that contain e-money ("e-wallets") which are issued by Major Payment Institutions.  The proposed amendments are intended to facilitate greater customer convenience and innovation in the e-payments landscape. However, the MAS has also noted that the proposed increase in these caps could also magnify any potential losses incurred through scams that involve e-wallets – as such, e-wallet issuers should take this risk into account and assess if their anti-scam controls should be strengthened. The MAS has also indicated that they will continue to work closely with the industry to ensure that they implement robust anti-scam controls that are commensurate with their business and risk profiles.

The information paper may be accessed here.

Our Financial Services Regulatory Practice advises on a broad range of issues that concerns various classes of financial institutions, including payment service providers. Reach out to our Financial Services Regulatory Partners Elaine Chan, Rosabel Ng, Chan Jia Hui, Tian Sion Yoong, or find out more about our practice here.