Regulatory Alerts2021-01-01
Instructions No. (7) of 2021 Regarding the Regulation of the Relationship Between Payment Service Companies and Users
The Palestine Monetary Authority issued Instructions No. (7) of 2021 to regulate the relationship between licensed payment service providers and their users, mandating secure, transparent contractual frameworks and strict data confidentiality protocols. The regulations require providers to establish dedicated complaint handling mechanisms with defined response timelines, implement rigorous procedures for freezing dormant accounts and managing deceased users' estates, and enforce transparent disclosure of all fees and commissions. Furthermore, the directives stipulate the transfer of unclaimed balances to a separate suspended account after ten years of inactivity and mandate quarterly reporting to the Authority to ensure ongoing compliance and consumer protection.