Electronic money. Financial services. Legal logic.

Electronic money. Financial services.

Legal logic

Money has a legal value, and has legal definition in different forms: money, bank notes, electronic money, bank money. The coin and banknotes constitute a financial instrument in payment transactions that do not require a financial service. Other forms of currency to be used in payment transactions require for their legal definition, a financial service provided by intermediaries (banks, monetary institutions, payment institutions) authorized; only in limited payment transactions clearly defined by law (the Italian Republic, the Tub banking and Law 11-2010) you can use the electronic money without the use of financial services delivered by authorized intermediaries through the financial administrative tools the civil code available for companies (budget, newspaper accounts). In this article will be placed interest in electronic money, the legal logic definition, the legal rationale for use. Please note that the laws have further restricted the scope in which you can make payment transactions in Italy, with electronic money without a financial service provided by intermediaries authorized to safeguard the market for such financial services provided by the authorized operators, financial intermediaries condition (banks, monetary institutions, payment institutions).

WARNING: the governmental administration of the banks, has the delegated authority to limit the possibilities for provision of financial services to companies for protecting the same market, MAI may prohibit a company to deposit in its electronic filing in seat (and not from a third party authorized intermediary banks) electronic money through financial services provided by authorized intermediaries. Never will do it because it would violate the basic principles of business (reference article "Independence banking", History), for example, would violate the Constitution of the Italian Republic and few articles of the existing regulations financial. So you can restrict access to financial services (authorization to practice business), but not the possession of electronic money that does not depend on financial services. Quite different is the aspect of issuing electronic money which can only happen through financial services provided by licensed operators, intermediaries such as banks, monetary institutions, State because it allowed both as a public authority and therefore not dependent owned authorization.

ITALIAN LEGISLATION, FINANCIAL SERVICES - ELECTRONIC MONEY.

LEGAL LOGIC, ITALY: electronic money to Article 1, paragraph 2, letter h-ter of the banking TUB (and for the banking TUB) must be issued by an intermediary (bank or monetary institution), it must be accepted by person different by emitter in payment operations. A company can have deposit in the company either in cash or electronic money to the legal constraint that electronic money originally was issued by the authorized intermediary (banks or monetary institution), collected from payment transactions in compliance with the regulatory framework of the above institutions.

A company for the above framework can transfer funds into electronic money in the company store to a payment account with an authorized bank, which operation and of itself a financial service issued by the authorized intermediary.

Example: the State is authorized to issue payment services, therefore a company with a deposit electronic money on the farm, in Italy and for banking legislation the State, (the Italian Republic) may pay tax, Example: the State is authorized to issue payment services, therefore a company with a deposit electronic money on the farm, in Italy and for banking legislation the State, (the Italian Republic) may pay tax, the financial service needed for payment by electronic money is issued by the State. The Italian state is authorized the provision of payment services for obvious reasons as a Public Authority, Monetary Authority, and with explicitly stated in banking regulations. (Same for the issuance of electronic money). Likewise, a company can make a payment transaction in the electronic money from the deposit in the company and to the beneficiary asking the bank the payment service provision needed by law. The bank is obliged to provide the service by the same financial regulations legal. Obviously the cost of the financial service requested by the bank, is paid by the company.

Payment services without bank: payment service that allows you to make a payment can only be performed by an authorized bank therefore a company not can cash electronic money without intermediary bank. In limited circumstances prescribed by the regulations it can be carried out without banks, and between related enterprises, corporate groups. Remember that the financial instrument (funds) e-money for payment transactions outside the restricted cases above, can only be used by financial services provided by banks for legal constraint otherwise it would incurs in offenses of criminal nature. Obvious legal logic is that a bank in business is obliged by the marketing authorization and the authorization to the intermediary bank, of provide financial services to consumers, otherwise exposes you to possible revocation of the authorization to trade in violation of the obligations of the trader, to the possible revocation of the authorization for the provision of financial services in violation of professional and integrity requirements, exposes himself to criminal offenses because due to consumer fraud by claiming fraud provision of financial services in the market which then in fact denies the consumer.

Often the rules are assigned a logic that is not the only possible, the only legal but a subjective interpretation; to prevent that doubt can insinuate among the readers of this it should be noted that the Group HTNET application of the legal logic of the regulatory framework over, has paid 8.5 million of Euro for taxes to the Italian Republic of which 7.5 million non-deductible, through the Deposit money electron, in company (financial instrument: electronic money), the financial service used in such payment transactions is issued by the state because it authorized to provide payment services, because it has power still to do so as a public authority (in this the event has provided the required payment services as authorized).

In conclusion, it can have in the company, electronic money deposit without bank service, can make all your payments with electronic money deposited through financial services provided by authorized brokers; only in limited areas can carry out payment transactions with electronic filing when electronic money without using payment services provided by authorized intermediaries and therefore with financial services provided independently and in short can be summarized through the financial administrative legal company budget, statements and newspaper writings accounting.

Web site: European Commission | Institute of International Finance |