Prepaid Wallet License Services

Start Your RBI Payment Wallet License Process Today

The Prepaid Wallet License is issued under strict Payment and Settlement System Regulations, 2008. The RBI regulates all prepaid payment instruments in India. Once issued, the Prepaid Wallet License is valid for one year from the date of issue to the licensee.
What we offer:-

  • Registration of the Pre-Fund Company
  • Advice on Choosing a specific Wallet type
  • Application to RBI
  • Pre-Payment Technology Platform
  • PCI DSS Compatibility
  • Use of AI

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Prepaid Wallet License in India

To facilitate the transfer of funds and to make it technologically viable, the Reserve Bank of India (“RBI”) has taken a number of steps to make payments faster, which is why it is the first payment wallet license or paid wallet license. The different types of payment fund license are:

  • Bank card or credit card
  • Online wallets
  • Mobile accounts
  • Paper vouchers
These payment services operate under financial regulation and are operated on mobile or credit cards or online. The standard and issuing authority for issuing a Payment wallet license or prepaid payment license is the RBI. The RBI is also responsible for issuing guidelines and rules for prepaid funds.

Payment instruments are instruments that prepare for the purchase of goods and services relative to the retained value of those instruments. Prepaid devices can be issued such as magnetic line cards, smart cards, online accounts, mobile accounts, mobile wallets, and paper vouchers.

Eligibility to get Prepaid Wallet License

There are the following organizations that are eligible to receive a license for prepaid wallets. They have to comply with the following requirements:

Scheduled Banks & Non-banking Financial Institutions:

These institutions have to get previous permission from the Reserve Bank of India (RBI) for getting the license.

New Incorporations:

Those newly formed firms that do not have an audited financial statement must receive a certified Chartered Accountant certificate declaring their current net worth and have to file a provisional balance sheet.

A company holding Foreign Direct Investment/ Foreign Institutional Investment:

As specified by the FDI policy guidelines, these companies must have minimum capital.

All other organizations:

must, in conjunction with their most recent audited balance sheet, have a minimum net worth of INR 25 Crore.

The company incorporated under Companies Act:

A private or public company incorporated under the Companies Act 2013 or 1956 can only do this prepaid wallet issuing business if it is approved in the MOA by its object clause.

Capital Requirements

Types of Payment Wallets or Prepaid Wallets

The RBI has categorized Prepaid or Payment Wallets into four categories:

Closed system payment:

It is a fund issued by a company to a consumer to purchase goods and services only from that company. Example: Amazon, Cleartrip, etc.

You can use this:

  • Receiving a refund to receive and receive a refund
  • You can make a purchase

Open system payment:

It is used to purchase goods and services and also allows for ATM withdrawals. Example – Visa card, Master Card, Rupay card.

You can use this :

  • By withdrawing money from an ATM
  • Payments made for purchases of goods and services by swiping cards
  • Use a PO machine to make a payment

Semi-Closed system payment:

Slightly closed funds refer to those funds that can be used to purchase goods and/or services such as that fund as a payment tool that can be used by a clearly identified merchant who makes a direct agreement with the issuer without a payment instrument. Example- Paytm, Mobikwik, Freecharge etc.

You can use it :

  • Pay to a joint dealer for the purchase of goods
  • Buy from a wallet issuer
  • Transfer money

Documents Required for Prepaid Wallet License

Any other documentation that may be relevant.

Steps for getting a Prepaid Wallet License


Business incorporation under the Company Act, 2013 with key objects consistent with that of a prepaid payment instrument.


Preparation and filing of the Payment Wallet License Application in Form A with payment of an appropriate fee as needed by the Regulations of the Payment and Settlement System, 2008.


In order to ensure the correctness of the application and the attachments submitted and the fitness of the Company and its promoters and directors, the application thus filed is subject to the initial review of the application by the RBI.


The designated office of the Reserve Bank of India issues an ‘in-principle’ approval valid for 6 months subject to completion of the initial scrutiny to the satisfaction of the RBI.


A Systems Audit Report shall be mandatory to be submitted to RBI by the organization receiving the ‘in-principle’ within those six months, otherwise, the in-principle approval shall be considered to have expired after 6 months. There is a provision for such an applicant to seek a one-time extension of six months, which is to be accepted only if there is a legitimate explanation for the delays incurred. Based on the reasons mentioned, the RBI has the discretion to approve or reject such extension requests.


If the RBI finds that the particulars and facts presented by the applicant in the application are sufficient and, following the respective provisions. The RBI shall issue the Registration Certificate to the applicant within six months of its initial approval. However, in the absence of a certificate of registration, the in-principle approval shall expire at the end of the six months. The registration certificate issued by the RBI is valid for 5 years and is subject to periodic examination.

Extra Permissions Required by the Non-banking Companies

If a certificate of authorization for the issuance of prepaid payment instruments has been approved by a non-banking entity, the written penalty of the RBI must be acknowledged under the following conditions:

Semi-Closed PPIs Permission Process

Deployment of Money Collected on Prepaid Wallet License

The value of money raised by licensing a paid fund remains high. Moreover, its benefits are also much faster compared to other methods. In addition, the interest and trust of people who work in a prepaid fund increase automatically if the payment is straightforward and timely.

To ensure that payments are made on time, the way investors need to invest the money collected is:

  • The company needs to maintain the remaining balance as part of the ‘Net Demand and Time Liabilities’ to maintain the resources set out in the Balance Sheet. These balances are calculated using amounts from the bank accounts at the reporting date to the RBI.

  • In addition, any other business or service provider licensors are required to maintain a balance held for an escrow account opened by any Schedule Bank subject to the following conditions:

    Specific Guidelines for the Issuance of Prepaid Payment Instruments

    In India, under the 2017 Policy Guidelines on the Issuance and Service of Prepaid Payment Instruments, Apex Bank has laid down detailed guidance on the \ issuance of PPIs. It is possible, to sum up, the guidelines issued as:

    The Prepaid Wallet License Validity

    Exemptions from Prepaid Wallet License

    In India, businesses are exempt from obtaining a licensed fund paid as follows:

    Entities Issue Prepaid Payment Systems

    All organizations involved in issuing closed system PPIs are exempt from the RBI’s guidelines and will not seek approval from Apex Bank. However, they need to meet the following conditions for the issuance of payment metals:

    1. The maximum cost of a closed PPI system will be Rs 5000 / -;
    2. These prepaid payments will not be used to purchase other prepaid payment tools;
    3. The amount collected under this scheme will be waived from the delivery of the delivery, provided that the remaining amount of payment instruments does not exceed the Rs 50 lakhs or 10% of the NOF (General Funds) of suppliers, whichever is less;
    4. Any business operating in the issuance of these prepayment payments needs to notify the RBI (Reserve Bank of India) when those plans come into effect;
    5. Those organizations also need to submit an annual financial statement to the State Bank representing the total amount and the remaining amount of instruments issued during that period.

    Foreign Exchange Prepaid Payment Instruments

    All entities authorized under the FEMA (Foreign Exchange Management Act), 1999 to issue prepaid foreign currencies are not subject to minimum monetary requirements. However, these payment instruments can only be used for the current account approval.

    Mobile Prepaid Instrument

    The conditions to be met for the release of prepaid steel from RBI guidelines are as follows:

    1. Except for the amount of talk time, the use of that prepaid device will be restricted to purchasing only those digital services or content that can be used on mobile phones.
    2. Mobile payment instruments may not be used for the purchase of other goods or services.
    3. These prepaid instruments cannot be converted into cash.

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    Frequently Asked Questions

    Prepaid Wallets are payment tools that allow the purchasing of goods and services against the value held in those tools, including the transfer of funds. PPIs are an intelligent and easy way for cashless transactions to be initiated. It is an efficient payment method that guarantees transparency, scalability, and accountability.

    Prepaid Wallet License can be easily applied online. But you will need a professional to create the application process. For more extra, call us on 8750008881

    Prepaid Wallet License cost usually starts from Rs.5,000 and goes beyond according to the service you choose. For more details visit our website Legalraasta or you can call us on 8750008881

    The main important documents are phone number, mail id, and address proof of the applicant. Also mentions the
    Certificate of Incorporation.

    Wallets, cards, or any other form that can be used to access the PPI and to use the sum in it are the various ways in which PPIs may be given.

    Banks- In the case of banks, there is no separate minimum capital required. They are only allowed to issue PPIs after obtaining RBI approval.
    Other entities- According to the last audited balance sheet, the minimum positive net worth of 25 Crores shall be retained by all the entities requesting approval.

    In India, the RBI or Reserve Bank of India has the power to issue a Payment Wallet License.

    Another affordable payment portal is PayPal. In addition, it is a safe payment site, so in each online store where you want to shop, you have to enter your bank information.

    Yes, clearance for obtaining a Payment Wallet License is mandatory.


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