Added · Updated
The Central Bank of Montenegro issued this Decision to regulate the structure, conditions, and procedures for opening and cancelling transaction accounts used for national and international payments. It mandates that national accounts follow an 18-digit BBAN structure while international accounts must use a 22-character IBAN format, with specific requirements for provider identification and control numbers. The regulation further details the documentation and identity verification processes required for residents and non-residents, including provisions for account cancellation due to inactivity, legal entity dissolution, or bankruptcy proceedings.
CBCG published 8 documents in the last 30 days — get each new one by email the day it lands.
Unofficially consolidated translation
DECISION on the structure, more detail conditions and manner of transaction account opening and cancelling (OGM 48/14 of 13 November 2014, 24/16 of 08 April 2016, 14/17 of 03 March 2017, 80/20 of 04 August 2020)
I. BASIC PROVISIONS
Article 1
This Decision regulates the structure, more detail conditions and the manner of transaction account opening and closing for executing national and international payment transactions.
Article 2
A transaction account is a type of the payment account opened, in the name of one or more payment service users for executing payment transactions and for other purposes, by the following payment service providers:
Business organisations and other legal persons (hereinafter: legal persons) registered in
Montenegro, with the exception of their representative branches outside Montenegro;
Foreign company branches registered with the registry of the competent authority within
Montenegro;
Entrepreneurs – natural persons registered in or with residence in Montenegro, conducting
an economic activity for its own account for the purpose of gaining profit, and also registered with the competent authority in Montenegro;
Natural persons – citizens of Montenegro residing in Montenegro continuously for a year
or longer;
Natural persons – foreign citizens, who based on the residence permit or work visa, reside
in Montenegro continuously for a year or longer;
Diplomatic, consular and other representative offices of Montenegro in foreign countries,
employees in these representative offices, and the members of their families who are not citizens of foreign countries.
The transaction account opened in accordance with Article 3 paragraph 3 of this Decision may be used as uniform identification sign within the meaning of the provisions of the law regulating the payment system.
2. Structure of the transaction account for executing international payment transactions
Article 8
Payment service providers referred to in Article 2 paragraph 1 of this Decision shall open the transaction account for executing international payment transactions according to the IBAN structure (International Bank Account Number), which alphanumeric character consists of 22 characters.
Article 9
Alphanumeric character of the transaction account under Article 8 of this Decision shall consist of the following five separate parts:
III. OPENING, MAINTAINING AND CANCELLING OF THE TRANSACTION
ACCOUNTS FOR EXECUTING NATIONAL AND INTERNATIONAL PAYMENT TRANSACTIONS
Payment service providers referred to in Article 2 paragraph 1 of this Decision shall record and update the information on daily basis and provide accuracy of the recorded information.
Article 18a
Payment service providers referred to in Article 2 paragraph 1 of this Decision may cancel transaction accounts to payment service users without request for cancelling such accounts, provided that such accounts have not recorded any changes in the period of five years and provided that the balance on such accounts has been zero.
2. Transaction accounts of residents
2.1. Transaction accounts of legal persons and entrepreneurs – residents
Article 19
A legal person or an entrepreneur – resident shall submit the request for opening of the transaction account for the execution of national or international payment transactions, which shall contain the following information:
The payment service provider referred to in Article 2 paragraph 1 of this Decision shall label at the statement from the registry referred to in paragraph 3 of this Article the date and the time of the insight in such registry and the name of the person that has made the insight. When an applicant is a person whose transaction account, pursuant to the law, is excluded from the enforced collection, it shall submit, in addition to the documents referred to in paragraph 2 of this Article, documents which certify that this transaction account is excluded from the enforced collection. Notwithstanding paragraph 2 of this Article, in addition to the request for opening the transaction account for payment of funds for establishing a legal person, only incorporation agreement of that legal person shall be submitted. In addition to the request and documents referred to in paragraph 2 of this Article, payment service provider referred to in Article 2 paragraph 1 of this Decision shall request other information or other documents, if it is prescribed by the law or other regulation, and may also request the submission of additional documents which it deems necessary for deciding upon the request. When, on the basis of the submitted request and documents, the payment service provider referred to in Article 2 paragraph 1 of this Decision determines that the conditions for opening the transaction accounts are fulfilled, it shall sign with the applicant the framework agreement on transaction account opening and maintaining.
Article 20
Specimen signature card referred to in Article 19 paragraph 2 item 6) of this Decision must contain the following information:
Article 21a
By way of derogation from Article 21 paragraph 1 of this Decision, payment service providers referred to in Article 2 paragraph 1 of this Decision shall cancel the account of the payment service users without the request if the payment service user has ceased to exist as a legal person on the basis of the law or other regulation. Payment service user referred to in paragraph 1 of this Article, shall be, within the meaning of this Decision, a payment service user who is not registered in the Central Register of Business Entities or any other public register under any label, whereby the obligation for its registration exists, or it is registered under the label “deleted”, “liquidated” or any other label that means that such payment service user has ceased to exist as a legal person in accordance with the law or other regulation. In case of paragraph 1 of this Article, if the legal successor or other person in favour of whose transaction account the payment transaction is executed is not prescribed by regulation or other legal document, the payment service provider referred to in Article 2 paragraph 1 of this Decision shall transfer cash from the cancelled transaction accounts to the transaction account of such payment service provider opened for cash which is not in use. Notwithstanding provisions of Article 21 paragraph 4 of this Decision, in case referred to in paragraph 1 of this Article, the payment service providers under Article 2 paragraph 1 of this Decision shall cancel also transaction account of a legal person or an entrepreneur – resident which is frozen. Payment service providers referred to in Article 2 paragraph 1 of this Decision may obtain information referred to in paragraph 2 of this Article by an immediate insight into the appropriate public registry, and they may also obtain them from the Central Bank, which shall forward the information to them from the competent authorities.
Article 22
Payment service provider referred to in Article 2 paragraph 1 of this Decision shall cancel all transaction accounts of the payment service user which is a legal entity or an entrepreneur - resident under bankruptcy or liquidation proceedings, pursuant to the request of bankruptcy or liquidation administrator, and shall open the bankruptcy or liquidation transaction account. In addition to the request referred to in paragraph 1 of this Article, bankruptcy or liquidation administrator shall submit the following documents:
1)Request for opening of the bankruptcy or liquidation transaction account supported by the following documents:
4)Request for cancelling all transaction accounts of the payment service user against whom bankruptcy or liquidation proceeding has been initiated; 5)Evidence on payment of compensation or fee, if prescribed.
Article 23
A payment service provider shall transfer funds referred to in Article 2 paragraph 1 of this Decision from transaction accounts of the payment service user to be cancelled to the opened transaction account of the payment service user under bankruptcy or liquidation proceedings, which cannot be used for other payment transactions until cancelling the transaction accounts of the payment service user against whom bankruptcy or liquidation proceedings have been initiated.
Article 24
If the bankruptcy proceedings are terminated and the payment service user under bankruptcy or liquidation proceedings continues with business, the payment service provider referred to in
Article 2 paragraph 1 of this Decision shall, upon the request of the bankruptcy administrator or
other authorised person, cancel transaction account of the payment service user against whom bankruptcy proceedings are terminated, and shall open a new transaction account to the payment service user. In addition to the request from the paragraph 1 of this Article, the following documentation shall be submitted:
1)Request for opening the transaction account supported by the following documents:
1)Request for opening the transaction account of the payment service user created by the statutory change, supported by the following documents:
Payment order for transfer of funds from all transaction accounts of the payment service user
ceased to exist by statutory change which shall be cancelled, before the cancellation, to the opened transaction account of one or several payment service users created by statutory change or to the transaction account of the incorporating payment service user; 3)Request for cancelling all transaction accounts of the payment service user ceased to exist by statutory change, with the decision on deleting of the payment service user ceased to exist by statutory change as a legal entity from the register of the competent authority; 4)Evidence on payment of the compensation or fee, if they are prescribed.
Article 26a
In the case of statutory change of merger of one bank to another, the bank to which other bank is merged (hereinafter: the acquiring bank) shall submit to the payment service user of the bank being merged an offer for transaction account opening with that bank, no later than two months before the agreed day of merger (hereinafter: merger day). The offer referred to in paragraph 1 of this Article shall be deemed accepted and the framework agreement of opening and maintaining the account with the acquiring bank shall be deemed concluded, unless the payment service provider, within the deadline specified in the offer, informs the bank that he does not accept the offer. In the case when the payment service users inform the acquiring bank that they do not accept the offer referred to in paragraph 1 of this Article and do not submit the request for cancelling the transaction account to the acquired bank by the expiry of the deadline from the offer, it shall be deemed that they accepted the offer of the acquiring bank referred to in paragraph 1 of this
Article.
The acquiring bank may use also, exclusively for cash inflows in favour of the payment service users, the number of the transaction account of the payment service user, in period of maximum of one year following the merger day, which is in accordance with this Decision, assigned by the acquired bank. The acquiring bank shall direct and record cash received through the account number referred to in paragraph 3 of this Article in favour of the transaction account number of the payment service user that was assigned to him by the bank. The provisions of paragraphs 1 to 4 of this Article shall be applied mutatis mutandis in the case of bank merger by establishing a new bank, division or de-merger of the bank with the establishment of new bank.
2.2. Transaction accounts of natural persons – residents
Article 27
A natural person – resident shall submit the request for opening transaction account for the execution of national or international payment transactions, which shall contain the following information:
Name and last name of the natural person;
Residence, address and telephone number;
Uniform identification number of natural person or other identification number from the
appropriate personal document of natural person;
Signature of natural person;
Other information requested by the payment service provider with which transaction account
shall be opened in accordance with its business policy.
In addition to the request referred to in paragraph 1 of this Article, the applicant shall submit for information purposes documents confirming the identity of such person and its citizenship (personal ID, passport or other appropriate personal document containing a photo of such person), whereas foreign citizen and person without citizenship shall submit also a certified copy of the permanent or temporary residence permit in Montenegro, or permit for temporary residence and work in Montenegro or other appropriate document proving its continuous residence in Montenegro in period of one year or longer. In addition to the request referred to in paragraph 1 of this Article, the applicant shall submit its specimen signature card, and in case it authorises another person to sign payment orders, it shall submit specimen signature card of such person. Payment service providers referred to in Article 2 paragraph 1 of this Decision may open transaction account also to a minor – resident based on the framework contract, which, on behalf and for the account of such person, is signed by its legal representative after determining the identity of the representative. By way of derogation from paragraph 4 of this Article, payment service providers referred to in Article 2 paragraph 1 of this Decision may open transaction account also upon request of a minor – resident in cases when such persons exercise the rights as if they were of full age, in accordance with separate laws (marriage, conclusion of employment contracts, etc.) A natural person – resident may authorise other person to sign, on his behalf and for his account, a framework contract on opening and maintaining transaction account, where payment service providers referred to in Article 2 paragraph 1 of this Decision shall determine the identity of the authorised person and open the transaction account based on power of attorney verified by the competent authority and which may not be older than three months. When it is determined based on the submitted request and documentation that the conditions for opening transaction account have been fulfilled, the payment service provider referred to in
Article 2 paragraph 1 of this Decision shall sign framework contract on transaction account
opening and maintaining with the applicant.
Article 28
Payment service providers referred to in Article 2 paragraph 1 of this Decision shall cancel transaction account to a natural person – resident based on his written request for cancelling of the respective transaction account, and the cash from the cancelled transaction account shall be transferred to the transaction account noted in that request or may be paid in cash. In addition to the information referred to in Article 27 paragraph 1 of this Decision, the request for cancelling of the transaction account shall contain the transaction account which cancelation is requested and the transaction account to which the funds are transferred using the appropriate payment order, if the funds are transferred to another transaction account. Payment service providers referred to in Article 2 paragraph 1 of this Decision shall deny the request for cancelling the transaction account of a natural person – resident which is frozen (during the enforced collection, prohibition of disposal, and the like).
Article 29
The request submitted by a legal person – non-resident for opening transaction account for the execution of national or international payment transactions shall contain the following information:
Article 2 paragraph 1 of this Decision shall sign framework contract on transaction account
opening and maintaining with the applicant.
Article 30
Payment service providers referred to in Article 2 paragraph 1 of this Decision shall cancel transaction account to a legal person – non-resident based on its written request for cancelling of the respective transaction account, and the cash from the cancelled transaction account shall be transferred to the transaction account noted in that request or may be paid in cash. In addition to the information referred to in Article 29 paragraph 1 of this Decision, the request for cancelling of the transaction account shall contain the transaction account which cancelation is requested and the transaction account to which the funds are transferred using the appropriate payment order, if cash payment is not required. In case of paragraph 2 of this Article, if legal successor has not been determined or other person on which behalf the payment transaction from the transaction account is executed, the payment service provider referred to in Article 2 paragraph 1 of this Decision shall transfer cash from the cancelled transaction account to the transaction account opened for cash that is not used. Payment service providers referred to in Article 2 paragraph 1 of this Decision shall deny the request for cancelling the transaction account of a legal person – non-resident which is frozen (according to the court decision, and the like).
3.2. Transaction accounts of natural persons – non-residents
Article 31
The request submitted by the natural person – non-resident for opening transaction account for the execution of national or international payment transactions shall contain the following information:
A natural person – non-resident may authorise other person to sign, on his behalf and for his account, framework contract on opening and maintaining transaction account, where payment service providers referred to in Article 2 paragraph 1 of this Decision shall determine the identity of the authorised person and open transaction account based on the power of attorney verified by the competent authority and which may not be older than three months. When it is determined based on the submitted request and documentation that the conditions for opening transaction account have been fulfilled, the payment service provider referred to in
Article 2 paragraph 1 of this Decision shall sign framework contract on transaction account
opening and maintaining with the applicant.
Article 32
Payment service providers referred to in Article 2 paragraph 1 of this Decision shall cancel transaction account to a natural person – non-resident based on its written request for cancelling of the respective transaction account, and the cash from the cancelled transaction account shall be transferred to the transaction account noted in that request or may be paid in cash. In addition to the information referred to in Article 31 paragraph 1 of this Decision, the request for cancelling of the transaction account shall contain the transaction account which cancelation is requested and the transaction account to which the funds are transferred using the appropriate payment order, if payment in cash is not required. Payment service providers referred to in Article 2 paragraph 1 of this Decision shall deny the request for cancelling the transaction account of a legal person – non-resident which is frozen (according to the court decision, and the like).
4. Joint transaction account
Article 33
The request for opening joint transaction account shall be signed by all persons intended to be holders of joint transaction account. In addition to the request referred to in paragraph 1 of this Article, the documents set forth in this decision for opening transaction accounts shall be submitted individually for each holder of joint transaction account.
IV. FINAL PROVISIONS
Article 34
The Decision on the structure of the transfer execution account and the detailed conditions and manner of the account opening and closing (OGM 24/09, 15/11) and the Decision on the unique structure for identification and classification of the accounts by IBAN standard for cross border payments (OGRM 74/06) shall be repealed with effect from the date of entry into force of this decision.
Article 35
This decision shall enter into force on the eighth day following that of its publication in the Official Gazette of Montenegro.
THE COUNCIL OF THE CENTRAL BANK
Note from RegAlert. AI assistants can read this document in full, and search 70,000+ more, through the RegAlert MCP connector (https://mcp.regalert.today/mcp). Free with an account. How to connect ChatGPT, Claude or Cursor.
Source: Central Bank of Montenegro — original document · Summary generated with machine assistance and reviewed before publication; the authoritative text is the regulator's original document. How RegAlert works