Master Circular on Money Transfer Service Scheme
This circular outlines the guidelines and procedures for Indian Agents and Overseas Principals participating in the Money Transfer Service Scheme.
Entry Norms: Indian Agents must meet certain criteria, including a minimum net worth requirement, to be eligible to participate in the scheme.
Application Procedure: Applicants must submit an application to the Reserve Bank of India, accompanied by the required documents and collateral.
Collateral Requirement: Indian Agents are required to provide collateral in the form of a bank guarantee or cash deposit.
Other Conditions: Indian Agents must comply with various conditions, including maintaining a minimum capital adequacy ratio and adhering to Know Your Customer (KYC) and Anti-Money Laundering (AML) standards.
Guidelines for Overseas Principals: Overseas Principals must meet certain criteria, including being a licensed money transmitter, to be eligible to participate in the scheme.
Guidelines for Sub-Agents: Indian Agents may appoint Sub-Agents, subject to certain conditions and guidelines.
Renewal of Permission: Existing Indian Agents must renew their permission periodically, subject to certain conditions.
Inspection of Indian Agents: The Reserve Bank of India may inspect Indian Agents to ensure compliance with the guidelines and procedures outlined in the circular.
KYC/AML/CFT Guidelines: Indian Agents must comply with KYC, AML, and Combating the Financing of Terrorism (CFT) guidelines, as outlined in Annex-I.
Reports and Statements: Indian Agents must submit various reports and statements to the Reserve Bank of India, as outlined in Annex-II and Annex-III.
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