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Regulations regarding the Operating License of Payment
Institutions and their Corporate Governance
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Att. Selen Ozturk
Introduction
The Law on the Payment and Securities Settlement Systems,
Payment Services and Electronic Money Institutions
1
(“Law on
Payment Services”) and the Regulation on Payment Services and
Electronic Money Issuance and Payment Institution and Electronic
Money Institutions
2
(“Regulation on Payment Services”) regulates the
procedures and principles regarding payment services and electronic
money issuance, as well as the activities of payment institutions and
electronic money institutions that operate within Turkey. The regula-
tion of payment services is of vital importance in a world where infor-
mation systems develop each day. Turkey, in order to remain in sync
with current developments, has set forth legal regulations on payment
services. The Regulation on Payment Services regulates, in detail,
transactions that are subject to operating permits, regulations regarding
funds, corporate governance of, and agreements concluded by payment
institutions. This article specifically examines operating permits grant-
ed, and the corporate governance principles that payment institutions
abide by.
Payment Services and Payment Institutions
In accordance with Art. 12 of the Law on the Payment Services, (i)
all transactions that are required in order to operate a payment account,
including services which enable cash to be placed in, and withdrawn
from, a payment account, (ii) execution of payment transactions,
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NEWSLETTER 2015
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Article of April 2015
1
Published in the Official Gazette dated 27 June 2013 and numbered 28690.
2
Published in the Official Gazette dated 27 June 2014 and numbered 29043.