An Electronic Money Institution (EMI) is a company licensed to issue electronic money and provide payment services, including holding and transferring funds for customers. For businesses operating across borders, an EMI can be a faster, more flexible and lower-cost alternative to a traditional business bank account - particularly for international payments, foreign exchange and multicurrency money management.
Looking for Equated Monthly Instalments? That is a different “EMI”. This guide covers Electronic Money Institutions - the regulated financial companies behind many modern business payment accounts.
WeavePay is a UK Electronic Money Institution authorised by the Financial Conduct Authority (FCA) under the Electronic Money Regulations 2011.
Electronic money, or e-money, is monetary value stored electronically and issued in exchange for traditional fiat currency such as GBP, EUR or USD.
Unlike cryptocurrency, e-money is linked directly to conventional government-issued currency. If you deposit £1,000 with an EMI, for example, the corresponding electronic money represents that monetary value within your payment account.
In simple terms, e-money:
Electronic money does not normally earn interest in the way money held in certain bank deposit or savings products can.
Both banks and Electronic Money Institutions operate within regulated financial frameworks, but their licences, business models and treatment of customer funds are different.
The core difference is the licence. A traditional bank holds a banking (credit institution) licence. An Electronic Money Institution is authorised or registered to issue electronic money and provide payment services.
This affects how your money is protected. Banks generally treat customer money as deposits. Eligible deposits may be covered by the UK's Financial Services Compensation Scheme (FSCS) up to the applicable compensation limit. EMI balances are not bank deposits and are not covered by the FSCS. Instead, EMIs protect customer funds through safeguarding: your money is kept separate from the EMI's own operating funds.
It also affects what the institution can do with your money. Banks can accept deposits and use those funds as part of their lending activities. EMIs cannot use safeguarded customer funds to provide loans, and they do not operate like deposit-taking banks.
For businesses, the practical differences show up in day-to-day use. Opening an account with an EMI is often digital and faster, although compliance checks are still required. Onboarding with a traditional bank can take longer, particularly for international or complex businesses. EMI fees are often structured around payments, FX and international transfers. Bank fees vary significantly and may include additional charges for international banking or currency conversion.
Many features are available from both. Banks commonly provide IBANs and account details, and EMIs can also provide business payment accounts with dedicated account details and IBANs. Visa cards are commonly available from banks, depending on the bank, and from some EMIs, including WeavePay.
The key distinction is that an EMI is not a bank. An EMI focuses primarily on electronic money, payments, foreign exchange and related financial services rather than lending and deposit products.
For an international business that mainly needs to receive money, pay suppliers, exchange currencies and manage company spending, those differences can make an EMI particularly useful.
Yes - authorised Electronic Money Institutions are regulated financial institutions.
In the UK, authorised EMIs operate under the supervision of the Financial Conduct Authority (FCA) and must comply with regulatory requirements covering areas such as capital, governance, risk management, anti-money laundering controls and the protection of customer funds.
WeavePay Limited is authorised by the FCA under the Electronic Money Regulations 2011 for the issuance of electronic money under FCA registration number 935764.
One of the most important differences between an EMI and a bank is how customer money is protected.
EMIs are required to safeguard relevant customer funds. With the segregation method used by WeavePay, customer funds are kept separate from the company's own operating money and held in safeguarded accounts with authorised credit institutions.
This also means safeguarded customer funds cannot simply be used by the EMI to finance its own activities or lend money to other customers.
Safeguarding is different from bank deposit insurance. Because an EMI account is not a bank deposit, funds held with an EMI are not protected by the Financial Services Compensation Scheme (FSCS).
The purpose of safeguarding is instead to separate relevant customer money from the EMI's assets so it can be identified and prioritised for return if the institution becomes insolvent.
Learn more about how WeavePay protects client funds on our Security page.
A modern EMI business account can cover many of the everyday financial operations an international company would otherwise manage through several traditional bank accounts.
A Multicurrency Account lets international businesses hold, send and receive GBP, EUR, USD and 30+ other currencies from one account.
This can reduce the need to maintain separate financial providers for every market in which your company operates.
With Global Payments, businesses can make and receive payments using networks including SWIFT, SEPA and Faster Payments.
This is particularly useful when paying international suppliers, employees, contractors or business partners.
Businesses trading internationally frequently lose money through unnecessary FX spreads and conversion fees.
An EMI can combine your payment account with integrated Foreign Exchange, allowing you to convert currencies without moving money between several platforms.
EMIs can also provide payment cards.
WeavePay offers physical and virtual Visa Debit Cards that businesses can use for company expenses, subscriptions, employee spending and advertising platforms.
Cards can also help businesses separate budgets between departments, employees or campaigns while maintaining centralised control over spending.
EMIs can be particularly valuable for businesses that regularly move money between countries, currencies or entities.
Importers and exporters frequently need to collect revenue in one currency while paying manufacturers, suppliers or logistics partners in another.
A multicurrency EMI account can bring those transactions into one system while reducing unnecessary conversions.
E-commerce companies may collect marketplace or website revenue across several markets while paying suppliers, fulfilment centres and advertising platforms internationally.
Combining multicurrency accounts, international transfers, FX and company cards can simplify that payment infrastructure.
Marketing agencies often manage international clients, remote teams and large advertising budgets.
Virtual Visa cards, international payments and multicurrency balances can help agencies separate advertising spend and manage payments without opening numerous local accounts.
For holding companies, family offices and businesses with more complex ownership structures, international banking relationships can require significantly more compliance work.
An EMI experienced in cross-border businesses can provide payment infrastructure designed around multi-entity structures, subject to the required compliance review.
Managing international finances through a traditional bank can become complicated when your company receives money in several currencies, pays suppliers across different regions or needs corporate cards for teams in multiple countries.
An EMI brings many of these functions together.
Instead of maintaining several disconnected accounts, businesses can use one platform to:
This can reduce administrative work while giving finance teams greater visibility over international cash flow.
The benefits are especially noticeable for businesses where cross-border transactions are part of everyday operations rather than an occasional requirement.
Opening an EMI account is generally completed online, although every application remains subject to compliance and eligibility checks.
With WeavePay, the process works in three main stages.
Provide information about yourself, your company and your financial requirements.
The WeavePay online application can typically be completed in around 15 minutes.
Businesses will generally need to provide:
Depending on your company's jurisdiction, ownership structure, industry and expected account activity, the compliance team may request additional information.
The application is reviewed to confirm eligibility and complete the necessary regulatory checks.
Most WeavePay applications currently receive a decision within 48 hours, although more complex companies or applications requiring additional due diligence can take longer.
Once approved, the business can activate its account and start using the available payment, FX and card services.
Ready to get started?
Open an Account or Talk to Sales to discuss the right setup for your business.
You can also review current account and transaction fees on our Pricing page.
WeavePay is designed specifically for companies operating internationally.
Instead of focusing on traditional banking products such as loans or savings accounts, the platform combines the financial tools global businesses use most frequently:
For companies working across multiple currencies and jurisdictions, this can provide a simpler alternative to maintaining several separate banking and payment relationships.
Explore our Multicurrency Account, Global Payments, Foreign Exchange and Debit Cards, or view our Pricing.
No. An Electronic Money Institution is a regulated financial institution, but it does not hold a banking licence. EMIs are authorised to issue electronic money and provide payment services rather than operate as traditional deposit-taking and lending banks.
Authorised EMIs must comply with regulatory requirements designed to protect customers and their funds. UK Electronic Money Institutions regulated by the FCA are subject to requirements covering safeguarding, governance, risk management and financial crime controls.
EMIs use safeguarding arrangements to keep relevant customer funds separate from their own operating money. This is designed to protect customer funds if the EMI becomes insolvent. EMI balances are not bank deposits, however, and are therefore not protected by the Financial Services Compensation Scheme (FSCS).
Yes. Many EMIs provide business payment accounts with dedicated IBANs or other local account details, depending on the provider, account type and currencies supported.
The biggest difference is their business model. Banks can accept deposits and provide lending products, while EMIs specialise in issuing electronic money and providing payment services. EMI customer funds are generally safeguarded rather than treated as bank deposits.
Yes. Some EMIs provide corporate payment cards alongside their business accounts. WeavePay offers physical and virtual Visa debit cards with configurable spending controls.
You normally apply online and provide information about your business, its owners and intended account activity together with identity, address and company documents. The EMI then carries out the required compliance review before approving the account.
Timelines depend on the provider and the complexity of the business. Most WeavePay applications currently receive a decision within 48 hours, while companies requiring additional compliance checks may take longer.
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