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Text as of 13 Jan 2018 · Consolidated version of 13 January 2018 · Same wording as today’s text.Today’s text

Article 11 — Issuance and redeemability

Financial servicesLevel 1DirectiveEMDIn forceVerifiedOfficial source

11(1)

1.Member States shall ensure that electronic money issuers issue electronic money at par value on the receipt of funds.

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11(2)

2.Member States shall ensure that, upon request by the electronic money holder, electronic money issuers redeem, at any moment and at par value, the monetary value of the electronic money held.

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11(3)

3.The contract between the electronic money issuer and the electronic money holder shall clearly and prominently state the conditions of redemption, including any fees relating thereto, and the electronic money holder shall be informed of those conditions before being bound by any contract or offer.

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11(4)

4.Redemption may be subject to a fee only if stated in the contract in accordance with paragraph 3 and only in any of the following cases:

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11(4)(a)
(a)where redemption is requested before the termination of the contract;
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11(4)(b)
(b)where the contract provides for a termination date and the electronic money holder terminates the contract before that date; or
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11(4)(c)
(c)where redemption is requested more than one year after the date of termination of the contract.
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Any such fee shall be proportionate and commensurate with the actual costs incurred by the electronic money issuer.

11(5)

5.Where redemption is requested before the termination of the contract, the electronic money holder may request redemption of the electronic money in whole or in part.

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11(6)

6.Where redemption is requested by the electronic money holder on or up to one year after the date of the termination of the contract:

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11(6)(a)
(a)the total monetary value of the electronic money held shall be redeemed; or
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11(6)(b)
(b)where the electronic money institution carries out one or more of the activities listed in Article 6(1)(e) and it is unknown in advance what proportion of funds is to be used as electronic money, all funds requested by the electronic money holder shall be redeemed.
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11(7)

7.Notwithstanding paragraphs 4, 5 and 6, redemption rights of a person, other than a consumer, who accepts electronic money shall be subject to the contractual agreement between the electronic money issuer and that person.

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