Requirements for Standing Order Arrangement
Standing Order Arrangements (SOA) require that foreign currency amount be fixed, frequency of remittance be monthly, quarterly or on a regular basis, be from the same sender to the same receiver for a set economic purpose. Authorised Dealers (ADs) and Remittance Service Providers (RSPs) are not permitted to process transactions for unapproved purposes or amounts exceeding their allowable limits. Standing orders are usually used by individuals to transfer funds for purposes such as family maintenance, education, gifts, pensions, and medical expenses.
To set up a standing order with an AD or RSP, an applicant must submit a written request to the Central Bank and complete a Standing Order Application (SOA) form. The form should include details such as the sender, recipient, amount, frequency of payments, purpose of the transfer, and the financial institution involved.
Once approved, the Central Bank will authorize the AD or RSP to make the foreign currency payments on the applicant’s behalf for up to one year (or another specified period). A copy of the approval is also provided to the applicant.
Steps to request Standing Order Arrangement
The ADs, RSPs and applicant requesting the Standing Order must submit the Standing Order Form to the Central Bank. The Standing Order form must contain the following information:
i. Name, full address and country of residence of both sender and recipient
ii. The purpose and justification for the standing order
iii. Currency type and amount
iv. Frequency of the remittance
v. Financial institution (AD or RSP) that will process the remittance
vi. Bank Statement as evidence of source of funds
vii. A valid certified/notarized copy of passport for the sender and the recipient
FAMILY MAINTENANCE
i. If employed, employment contract, letter from employer stating last 12 months of salary or a TD4 (Income Tax declaration form)
ii. If self-employed, latest Annual Return from Companies Registry or Company Registration Certificate and personal bank statement for the past 3 months
iii. If non-national, notarized or certified true copy of passport and immigration status
iv. If diplomat, diplomatic identification
EDUCATION
i. For students studying in the USA, an I-20 form from the university
ii. For students studying in other foreign countries, a letter of matriculation and a university cost estimate
iii. Source of education payments
iv. A notarized or certified true copy of passport for the student
CURRENCY AND DEPOSIT
i. Bank statement of account
ii. A notarized or certified true copy of passport of recipient
PENSION
i. Letter stating the applicant’s pensionable status
MEDICAL
i. Original bill or invoice from medical service provider
GIFTS
i. Supporting document from the beneficiary organization
The Central Bank reserves the right to request any additional information as deemed necessary for the processing of the application.
Email completed standing order form and supporting documentation to [email protected].