The Bank of Canada has released a list of companies seeking registration under the Retail Payment Activities Act (RPAA). This marks a significant step as the Bank assumes its role in overseeing retail payment service providers.
According to the Bank, the applicants represent a substantial portion of Canada's retail payment service market, including both domestic and international firms. Ron Morrow, Executive Director of Payments, Supervision and Oversight at the Bank of Canada, stated, "I’m pleased by the extent of companies that applied to register. The size and scope of companies on the list show how seriously members of the payments community are taking their obligations under the law, and that this new supervisory regime is off to a good start."
The list will be updated regularly as more applications are submitted. It currently excludes companies working with the Bank to determine if they fall under RPAA regulations. The Bank is also reaching out to businesses it believes should apply but have not yet done so.
Carol Brigham, Managing Director of the Bank’s Supervision Department, emphasized the importance of registration: “Companies need to be on the applicants’ list in order to keep legally offering retail payment services. Those that haven’t applied but continue to operate may be violating the law and subject to enforcement actions.”
The RPAA grants the Bank authority for compliance enforcement through measures like monetary penalties and court orders. Over ten months, applications will undergo review by both the Bank and Canada's Department of Finance for national security concerns. By September 8, 2025, lists detailing successful registrations and refusals will be published.
After this date, all Canadian payment service providers must demonstrate adherence to legislative requirements concerning risk management and user fund protection. Registration aims to bolster consumer confidence in everyday retail payment services.
Brigham concluded by acknowledging applicants' progress: “The companies that have applied to register have taken an important first step. Now, it’s up to them to look at their operations, determine if they meet our supervisory expectations, and make any changes needed.”