Finantsinspektsioon has withdrawn the authorisation from the payment institution PayHub AS


The Management Board of Finantsinspektsioon has, by a decision of 8 July 2019, withdrawn from PayHub AS the authorisation with an exemption to provide money transfer services, because of substantial breaches of the legal requirements.

PayHub AS was in serious breach of its obligations, mainly those coming from the Payments and E-money Institutions Act. Furthermore, PayHub AS has provided payment services without having the appropriate authorisation, and has not complied with previous precepts from Finantsinspektsioon. PayHub AS has also submitted inaccurate data to Finantsinspektsioon during the proceedings.

“Behaviour by one market participant that substantially and repeatedly breaches the law, including through the submission of false data to Finantsinspektsioon, can have negative consequences for the whole financial sector. This makes it important that we remove PayHub AS from the financial sector”, said Chair of the Finantsinspektsioon Management Board Kilvar Kessler. “All parties in the financial sector must abide by the applicable legislation and meet even higher standards for due diligence where needed”.

Finantsinspektsioon issued the authorisation to provide money transfer services with an exemption to PayHub AS in April 2011. The requirements are less strenuous for payment institutions that have an authorisation with an exemption, and the size of their payments is limited.

There are now ten payment institutions operating in Estonia, two of them under an authorisation with an exemption. The list of payment institutions can be found in the register of market participants on the Finantsinspektsioon website.

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