All licensed third-party payment firms to operate in 6 months

The Financial Supervisory Commission (FSC), Taiwan's top financial regulator, has set a goal of allowing four of the five Taiwanese third-party payment operators which have obtained their licenses to kick off business in six months after the first one became operational on Friday.

The FSC said that after AllPay Third-Party Payment Co. (??????????????) started its services Friday, the other four are scheduled to begin operations by the end of the first quarter of next year.

Taiwan's Legislative Yuan passed the Electronic Payment Processing Institutions Act (??????????) in early 2015 to provide a legal basis for third-party payments in today's rising Internet economy.

The new law took effect on May 3, and since then, the FSC has issued five licenses at a time when the local high tech and financial sectors have been anxious to tap the new market with online payments getting more and more popular in Taiwan.

In addition to AllPay, the other four licensed third-party payment operators include: GAMA Pay (???), which is owned by online game software developer Gamania Group (????), and PCHomePay (???), a subsidiary of Taiwan's leading e-commerce operator PCHome.

The other two licensed operators are Pay2go Co. (?????????), which is a subsidiary of online game software developer Soft-World International Corp. (??), and ezPay (??????) Neweb Technologies Co. (????), a Taiwan based financial services technology provider.

After AllPay launched its services, the FSC said, customers are now able to apply for a link between their third-party payment accounts and their banking accounts, which will lead to automatic fund transfers to third-party payment accounts from the banking accounts.

According to AllPay, the first third-party payment operator in Taiwan has set up business ties with about 20,000 stores in seven of the major cities and counties in the country.

That means its members are able to gain access to a wide range of services, such as convenience stores, car parking, taxi riding and cinemas.

The services offered by AllPay are now available in Taipei City, New Taipei City, Keelung City, Taichung City, Kaohsiung City, Hsinchu County, and Hualien County. The operator said that its services are even available in select night markets and traditional markets in the seven cities and counties.

AllPay was founded in 2011 with a paid-in capital of NT$630 million (US$20 million). Its major shareholders include online game developer MacroWell OMG Digital Entertainment Co. (???), I-Mei Foods Co. (????), convenience store chain FamilyMart (??), and E.SUN Venture Capital (????).

Source: Focus Taiwan News Channel