While the MNB’s authorisation is not required to found a payment institution, the activity it then performs is subject to authorisation. Applications for an activity licence for a payment institution can be submitted by currently operating joint-stock companies, limited liability companies or cooperative societies that are also engaged in other economic activities.
In authorisation procedures, applications and notifications must be submitted, in addition to authenticated electronic copies of the relevant attachments, by using the electronic forms available on the ERA platform of the MNB’s website under the E-Administration / Licensing service. The MNB’s decisions, requests for supplementation, notices and other communications are delivered to financial institutions or their legal representatives via the customer’s electronic storage space.
Detailed information on e-administration and on the substantive and formal requirements of electronic documents can be found on the MNB’s website under the following link:
Further information about specific aspects of the authorisation procedures can be found under the following menu option:
The provision of financial services and ancillary financial services without authorisation constitutes a criminal offence, and the MNB may commence a market surveillance procedure if it suspects any engagement in unauthorised financial activities.
If the MNB finds that an activity is performed without authorisation, it will
a) prohibit the activity,
b) initiate criminal proceedings if, in its opinion, a criminal offence is involved under the Act on the Criminal Code,
c) apply measures or exceptional measures, and/or
d) impose a market surveillance fine.
If the submitted application contains insufficient information, within 45 days of receipt of the application the MNB will request that the applicant submit supplementary information. In the case of complete applications, the MNB will make a decision within three months of receipt of the application.
A detailed guide to the authorisation of the activities of payment institutions is available on the following website: https://www.mnb.hu/letoltes/1-3-1-1-engedelyezesi-utmutato-penzforgalmi-intezmeny-tevekenysegenek-engedelyezese.pdf.
A Q&A page on the authorisation process of the activities of payment institutions can be found on the following link: https://www.mnb.hu/letoltes/1-3-1-2-eljarassal-kapcsolatos-gyakori-kerdesek-es-valaszok-penzforgalmi-intezmeny.pdf.
Information about the policies on attachments to an application for the authorisation of activities for payment institutions can be accessed via the following two links: https://www.mnb.hu/felugyelet/engedelyezes-es-intezmenyfelugyeles/engedelyezes/szektorok/penzpiac/penzforgalmi-intezmeny/tevekenysegi-engedely/szabalyzatokkal-kapcsolatos-informaciok/szabalyzatokkal-kapcsolatos-segedletek or frequently asked questions and answers concerning the regulations
The authorisation procedure is subject to payment of an administrative service fee of HUF 1,100,000.
Additional information about the administrative service fee is available under the following link:
Magyar Nemzeti Bank (MNB), Money and Capital Markets Licensing Department
The MNB ruling terminating the procedure/resolution rejecting the application may not be appealed; however, customers whose rights or legitimate interests are directly affected by the decision may initiate administrative court proceedings within 30 (thirty) days of the disclosure of the ruling/resolution on the grounds of infringement, by submitting an application to the Budapest-Capital Regional Court to initiate proceedings.
Legal representation is mandatory in the court proceedings. The application must be addressed to the Budapest-Capital Regional Court, and submitted electronically through the MNB’s form submission support service.
(The form submission support service can be accessed at: https://www.mnb.hu/felugyelet/engedelyezes-es-intezmenyfelugyeles/hatarozatok-es-vegzesek-keresese).
The submission of the application has no suspensive effect on the enforceability of the ruling terminating the procedure/resolution rejecting the application, but the customer may request interim relief. As a general rule, the court rules in the proceedings without holding a hearing; however, the customer may request a hearing in the application. If no hearing is requested, a hearing may not be requested later on during the appeal procedure.
An application for a remedy may be lodged by any party who goes over a time limit or misses a legal deadline during the procedure for reasons beyond their control.
Additional general information about the authorisation procedure is available at: https://www.mnb.hu/felugyelet/engedelyezes-es-intezmenyfelugyeles/engedelyezes/tajekoztatok.
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Act CCXXXVII of 2013 on Credit Institutions and Financial Enterprises
Act CXXXIX of 2013 on the Magyar Nemzeti Bank (Central Bank of Hungary)
Decree No 14/2015 (V. 13.) MNB on the Administrative Service Fee of Certain Authorisation and Registration Procedures Performed by the Magyar Nemzeti Bank in the Framework of the Supervision of the Financial Intermediary System and with Regard to Fiduciary Asset Management Companies
Act CCXXXV of 2013 on Payment Service Providers