Limited providers

A limited provider is a sole proprietor or legal entity which, in accordance with Act No 492/2009 Coll. on Payment Services Act (‘the Act’), provides services based on the use of payment instruments or similar technical instruments for a specific purpose and within a limited network. These payment and technical instruments are used for payment operations and for storing value electronically, and they may be used to acquire goods or services only within a limited network.

Limited networks are defined as any of the following:

1. the designated premises of a limited provider under Article 97a(1) of the Act, being premises which the provider owns, rents or otherwise uses;

2. the providers of goods or services specified in a contract concluded with a limited provider; and

3. the limited range of goods and services specified in a contract concluded with a limited provider.

Limited providers are required to notify NBS:

1. under Article 97a(2) of the Act,
not later than 30 days before the date on which they plan to begin providing services referred to in Article 1(3)(k) of the Act, that they intend to begin using payment instruments or similar technical instruments for payment operations and for storing value electronically within a limited network;

2. under Article 97a(3) of the Act,
without undue delay, that they have established another limited network, that their limited network has merged with another limited network, or that they are sharing payment instruments or similar technical instruments for a specific purpose within another limited network or within multiple limited networks;

3. under Article 97a(4) of the Act,
without due delay, that for any reason their limited network no longer exists or is no longer limited, that their payment instruments or other technical instruments used for a specific purpose are to become generally applicable payment instruments or similar technical instruments, that they have ceased executing payment operations and using value stored electronically, that they have been dissolved, or, pursuant to another regulation, that a bankruptcy order has been made against them or that a bankruptcy order made against them has been rejected on grounds of insufficient assets;

4. under Article 97a(5) of the Act,
within one month after every 31 December and 30 June, of any change in the information they previously notified to NBS, including any change in a limited network.

NBS powers relating to the notification requirement on limited providers

1. Under Article 97a(7) of the Act,
NBS may require a limited provider to furnish any information necessary for validating information previously notified by that provider or for reviewing the conditions, circumstances and facts relating to the provider’s activities and services.

The limited provider is obliged to furnish the information required by NBS in the manner, form and structure, and by the deadline, stipulated by NBS; it is also obliged to assist and cooperate with NBS as requested, and, for the purpose of validating the information furnished, to allow NBS to conduct on-site inspections of its registered office or business premises.

2. Under Article 97a(8) of the Act,
if a limited provider breaches its obligation to notify or furnish information to NBS under Article 97a(2) to (7) of the Act, NBS may impose a fine up to €5,000 on that provider, depending on the gravity, extent, duration, consequences and nature of the breach, or up to €10,000 for a repeated or serious breach.

The notifications referred to in Article 97a(2) to (5) of the Act are to be provided by

e-mail to the following address: limitovanyposkytovatel@nbs.sk

Downloadable documents

1 Template for the notifications referred to in Article 97(2) and Article 97(3) of the Act, the latter only with respect to the establishment of another limited network (Annex 1).

2 Template for the notifications referred to in Article 97a(3) to (5) of the Act (Annex 2).

3 Template for the declaration constituting Annex 3 to the notifications referred to in Article 97a(2) to (5) of the Act (Annex 3).

Note:

By delivering the notification compliant with Article 97a of the Act to the e-mail address limitovanyposkytovatel@nbs.sk, the limited provider fulfils its notification obligation towards NBS.

By delivering this notification, a limited provider that also provides any of the services defined in Articles 2(1) or 80 of the Act is in no way dispensed from its obligation to apply for authorisation to provide payment services pursuant to Article 64 of the Act or to issue electronic money pursuant to Article 82 of the Act.