Chapter 3 Management and Operation of Dedicated Deposit Account |
| Article 17 |
When a specialized electronic payment institution receives funds from a user, it shall accurately record the amount in the user’s e-payment account or stored value card and deposit the funds into its dedicated deposit account of the same currency opened in a dedicated deposit account bank.
A specialized electronic payment institution shall separate the deposits and management of funds received from users from its income set-aside funds.
The balance of deposits of inter-bank business fund accounts deposited in by a specialized electronic payment institution shall be regarded as payment funds deposited into the clearing account. |
| Article 18 |
A specialized electronic payment institution shall deposit funds received from users by account transfer, remittance or cash deposit over the counter directly into the dedicated deposit account. |
| Article 19 |
A specialized electronic payment institution shall deposit funds received/paid as an agent that are recorded daily in users' e-payment accounts into the dedicated deposit account no later than the next banking day. However, but it does not apply when the funds received/paid as an agent via e-payment accounts or stored value cards through the use of credit cards.
The daily balance of funds received/paid by a specialized electronic payment institution as an agent and deposited with a managing bank shall not be less than 50% of the total balance of funds received/paid as an agent in all dedicated deposit accounts in the previous banking day; if there is any shortfall, the specialized electronic payment institution shall make up the shortfall on the same day.
The balance of deposits in clearing accounts and inter-bank business fund accounts deposited in by a specialized electronic payment institution shall be integrated into the calculation of the balance of funds received/paid as an agent in the managed account specified in the preceding paragraph.
Where the specialized electronic payment institutions place the funds received from users in a trust according to Paragraph 1, Article 21 of the Act, and enter into an agreement with the managing bank regarding the proportion of the funds received/paid on behalf of the electronic payment institutions to be deposited into the managed account and cooperative account, Paragraph 2 does not be applicable. |
| Article 20 |
A specialized electronic payment institution shall, on the basis of an agreement between the said institution and the managing bank, allocate a certain proportion of the total balance of funds received/paid as an agent from the managed account or cooperative account into the clearing account. If there is any shortfall, the specialized electronic payment institution shall instruct the managing bank to make up the shortfall on the same day. The specialized electronic payment institution and managing bank shall further evaluate the appropriateness of the proportion agreed in the preceding paragraph and adjust it when necessary.
The specialized electronic payment institution shall comply with the operation mechanisms of the financial information service provider and ensure that there is sufficient balance of deposits in the inter-bank business fund account for clearing the payments of inter-institutions. |
| Article 21 |
A specialized electronic payment institutions shall deposit all stored value funds that are recorded daily into the managed account, clearing account, or inter-bank business fund account on the next banking day. However, payment funds received/paid as an agent that paying by credit cards linked to e-payment accounts or paying by stored value cards does not apply to the aforementioned requirement.
Where a specialized electronic payment institution places the funds received from users in a trust according to Paragraph 1, Article 21 of the Act, and enters into an agreement with the managing bank regarding the proportion of the stored value funds to be deposited into the managed account and cooperative account, the preceding paragraph shall not be applicable. |
| Article 22 |
For funds received from users that are declared trust in accordance with Paragraph 1, Article 21 of the Act, a specialized electronic payment institution shall instruct its managing bank to utilize the payment funds according to the subparagraphs of Paragraph 2, Article 22 of the Act. |
| Article 23 |
Funds made up by a specialized electronic payment institution in accordance with Paragraph 6, Article 22 of the Act shall be deposited into the managed account.
When a specialized electronic payment institution settles the payment funds utilized for investment in accordance with the subparagraphs of Paragraph 2, Article 22 of the Act, the institution shall deposit the balance of originally invested payment funds less the make-up amount provided in the preceding paragraph into the managed account. |
| Article 24 |
For interest or other income earned from the utilization of funds received from users in accordance with Paragraphs 2 and 3, Article 22 of the Act, a specialized electronic payment institution or trustee bank shall, within five business days after receiving the income, deposit the amount set aside in accordance with Paragraph 4, Article 22 of the Act into the income set-aside account. |
| Article 25 |
For service fees, management fees and other fee income deducted from funds received from a user as agreed between a specialized electronic payment institution and a user, the specialized electronic payment institution shall instruct the managing bank to deposit such income into its own fund account via the managed account. |
| Article 26 |
A specialized electronic payment institution may instruct its managing bank to make payment via intrabank or interbank account transfer through the managed account, or by transferring funds from the managed account into a cooperative account or clearing account.
A specialized electronic payment institution may instruct its cooperative bank to make payment via intrabank account transfer through the cooperative account, or by transferring funds from the cooperative account into the managed account or clearing account. A specialized electronic payment institution that places the funds received from users in a trust according to Paragraph 1, Article 21 of the Act must also meet the following regulations:
1. The managing bank shall enter into an agreement with the cooperative banks to agree on the rights, obligations and responsibilities of the parties.
2. The managing bank may inquire the operations of the business with the specialized electronic payment institution at any time.
3. The specialized electronic payment institution must provide related information or statements to the managing bank for account reconciliation for the funds received from users.
A specialized electronic payment institution may instruct the managing bank to transfer funds in the clearing account that exceeds the amount calculated by the proportion agreed with the managing bank under Paragraph 1, Article 20 into the managed account or cooperative account. |
| Article 27 |
Where a specialized electronic payment institution draws on funds received from users in accordance with Subparagraphs 1 and 2, Paragraph 1, Article 22 of the Act that it is necessary to make fund transfer, the funds shall be transferred from the managed account into respective cooperative accounts or clearing accounts, and shall not be transferred into bank accounts other than cooperative accounts and clearing accounts.
A specialized electronic payment institution shall not ask users to bear expenses incurred from fund transfer carried out in accordance with the preceding paragraph. |
| Article 28 |
Except for situations provided below, a specialized electronic payment institution shall not transfer funds in a dedicated deposit account into other electronic payment institutions:
1. Clearing of payment funds paid by an electronic payment institution;
2. Situations provided under Article 30 herein. |
| Article 29 |
A specialized electronic payment institution shall establish an account reconciliation mechanism with its managing bank via online inquiry or system linkup, and check the balance of funds received from users, balance in each cooperative account, balance in the clearing account, and balance of payments in transit with the managing bank every banking day by distinguishing funds received/paid as an agent and stored value funds, and retain the reconciliation records for at least 5 years.
The time of the balances provided in the preceding paragraph shall be at 23:59:59 every day.
The account reconciliation mechanism for the funds received from users specified in Paragraph 1 shall be completed by the specialized electronic payment institution which shall open inquiry functions in the information system for the managing bank to conduct account reconciliation at any time. The scope of the account reconciliation shall at least include the following items:
1. Funds received/paid as an agent.
2. Stored value funds.
3. Payments in transit.
4. Funds withdrawn.
A specialized electronic payment institution shall compile the balance of each dedicated deposit account and data required of reporting by the competent authority every month, and report same to the managing bank within the first five banking days of the following month.
Where a specialized electronic payment institution is unable to provide reasonable explanation or show proof for the results of reconciliation conducted by the managing bank according to Paragraph 1 hereof, the specialized electronic payment institution shall, within the next banking day following the receipt of a notice from the managing bank, make up the shortfall as requested by the managing bank. |
| Article 30 |
When a specialized electronic payment institution or trustee bank closes the managed account, the funds in the original managed account shall be deposited entirely into a newly opened managed account or the account of another electronic payment institution that is assigned to assume its business.
When a specialized electronic payment institution or trustee bank closes a cooperative account, the funds in the original cooperative account shall be deposited entirely into the managed account.
When a specialized electronic payment institution or trustee bank closes its clearing account, the balance of the original clearing account shall be deposited entirely into a newly opened clearing account or the account of another electronic payment institution that is assigned or transferred its business.
When a specialized electronic payment institution closes its income set-aside account, the funds in the original income set-aside account shall be deposited entirely into a newly opened income set-aside account or the income set-aside account of another electronic payment institution that is assigned to assume its business. |