Payment Services MSB Permission Canada | PSP + RPAA
The payment services permission covers Canadian Payment Service Providers (PSPs) — businesses processing payments, providing payment accounts, or facilitating payment activities. Most PSPs also need Bank of Canada RPAA registration. The dual MSB+RPAA license is the strongest Canadian payment authorization.
What This Permission Lets You Do
- Operate as a Payment Service Provider in Canada
- Provide merchant acquiring / payment processing services
- Run a digital wallet for retail or business users
- Operate a neobank with payment account features
- Provide payment-as-a-service infrastructure to other businesses
- Operate clearing/settlement services
Why You Also Need RPAA
The FINTRAC payment services permission covers AML compliance. The Bank of Canada RPAA covers operational risk and end-user funds safeguarding. Most PSPs need both:
- Holding customer funds in payment accounts → RPAA required
- Initiating EFTs on customer behalf → RPAA required
- Providing clearing/settlement → RPAA required
- Operating digital wallets with stored balances → RPAA required
Full RPAA guide | MSB+RPAA bundle details
Frequently Asked Questions
Do all payment processors need RPAA?
Most do. If you hold customer funds at any point in the payment flow (even briefly between authorization and settlement), RPAA applies. Pure pass-through processors that never hold funds may avoid RPAA, but the structure is rare in practice.
What’s the difference between MSB payment services permission and RPAA?
FINTRAC MSB payment services permission covers AML compliance under PCMLTFA. Bank of Canada RPAA covers operational risk and end-user funds safeguarding under the Retail Payment Activities Act. They’re independent regimes with overlapping coverage. Most PSPs need both.
Can I buy an MSB+RPAA company?
Yes. We always have 10+ MSBs in stock; several are dual-registered with FINTRAC MSB and Bank of Canada RPAA. Ownership transfer in 5–8 hours. View MSB+RPAA inventory.
How much does RPAA registration cost from scratch?
$2,500 CAD initial assessment + $1,500–$15,000 CAD annual based on transaction volume. Plus $50,000–$100,000 in compliance build-out (risk framework, safeguarding plan, governance). Total Year 1: $50,000–$120,000. RPAA guide.
How long does Canadian PSP licensing take from scratch?
FINTRAC MSB: 4–8 months. RPAA: 3–6 months (after framework build). Combined: 8–12 months. Acquiring a ready-made MSB+RPAA: 5–8 hours.
Can foreigners own a Canadian PSP?
Yes. Neither FINTRAC nor Bank of Canada require Canadian shareholder citizenship/residency. The PSP must be a Canadian corporation with appropriate director composition under provincial law. Most of our buyers are foreign-owned.
