Regulatory Consultation (Feedback by March 28, 2023): Retail Payment Activities Act (RPAA)

Bank of Canada | Feb 11, 2023

Image: Unsplash/Christiann Koepke

The Department of Finance Canada’s proposed regulations on the Retail Payment Activities Act (RPAA) have been published for public comment in Part I in the Canada Gazette.

• The public comment period is an important step in the regulatory process. You have until March 28, 2023, to comment on the regulations that will help clarify and support the RPAA. The Department of Finance Canada will consider your comments. This is your opportunity to provide feedback that could help shape the future of payments in Canada. Like the legislation, the regulations will have the force of law.
• You can review the proposed regulations and follow the instructions outlined on the Canada Gazette website to provide your feedback directly to the government.
  • Final regulations will be published in Part II of the Canada Gazette. We will provide updates in this newsletter as they become available.
• Get prepared for compliance:  Our supervisory framework explains how we will supervise entities and individuals who are subject to the RPAA.  Learn about our three pillars of supervision: registration, risk monitoring, and enforcement

See:  Fintechs Need To Get Ready…" href="https://ncfacanada.org/boc-new-retail-payment-regulations-coming-fintechs-need-to-get-ready/">BoC: New Retail Payment Regulations Coming –> Fintechs Need To Get Ready…

• Approx impact to Small businesses: 
  • It is estimated that approximately 2 500 businesses would be impacted by this proposal, with 96.4% being small businesses.
  • It is estimated that the total incremental administrative and compliance costs imposed on small businesses would be $4,630,002 (PV) over 10 years, which is equivalent to $1,931 (PV) per small business impacted.
  • Note that costs for each PSP are assumed to reflect their payment values in comparison to the industry as a whole. For example, a PSP with double the payment values would have double the administrative and compliance costs.

Review the proposed payment regulations and submit your feedback --> here

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