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Funds and providers

How are customer funds held?

2PayApp is not a bank. Depending on the service, customer funds and payment execution may involve regulated financial institutions or payment service providers. Customers should not assume that funds held through a payment platform carry the same protection as deposits held directly with a bank. The entity holding or safeguarding funds, the applicable regulatory framework and whether any deposit-protection or compensation scheme applies are identified in the customer agreement.

Last reviewed: 2026-09-09

Article facts

FieldVisible value
Is 2PayApp a bank?No
Are balances bank deposits?No
Deposit insurance provided by 2PayAppNone
Can a regulated institution hold the funds?Yes, depending on the service
Can the arrangement differ by currency or service?Yes
Where the arrangement is statedThe customer agreement
Last reviewed2026-09-09

The honest shape of the answer

This is the question a finance director should ask first, and it does not have a single public answer that is true for every customer.

What is true for everyone:

  • 2PayApp is not a bank and does not take deposits in its own name;
  • balances are not bank deposits and must not be treated as insured;
  • depending on the service, a regulated financial institution or payment service provider may hold or safeguard the funds and execute the payments.

What is specific to your company — and therefore contractual, not published — is which entity performs which role for your currencies and flows.

What the customer agreement must identify

Before you move commercial funds through the account, confirm that your documentation names:

  • the contractual service provider;
  • the institution providing account details;
  • the entity holding or safeguarding funds;
  • the entity executing payments;
  • the applicable regulatory framework;
  • whether a deposit-protection or compensation scheme applies.

If any of these is missing or ambiguous in the documents you were given, ask for it in writing before you rely on the account. This is a reasonable request and a normal part of corporate onboarding.

What you should not assume

Do not assume that:

  • a balance on the platform is protected in the same way as money in a bank account;
  • a regulatory registration implies a guarantee or insurance of funds;
  • the involvement of a regulated institution automatically extends deposit protection to you;
  • protection that applies to one currency or service applies to another.

How this relates to the registrations

2PAYAPP LIMITED holds a FINTRAC Money Services Business registration and a Bank of Canada payment service provider registration. Both are registrations, and neither is a guarantee of customer funds or a banking licence. They describe obligations the company is subject to, not a protection scheme covering your balance.

Frequently asked questions

Are my funds insured? Not by 2PayApp. Whether any deposit-protection or compensation scheme applies must be confirmed in your customer agreement.

Are the funds segregated? The treatment of funds depends on the service, currency and institution involved and is stated in the customer agreement.

What happens if a provider fails? The consequences depend on the legal arrangement and the applicable framework, both of which are identified in your customer agreement. Ask for this explicitly if it matters to your risk assessment — and it should.

Why can 2PayApp not simply publish the answer? Because the arrangement is per configuration and contractual. A single published answer would be inaccurate for some customers.

Can I get this in writing before signing? Yes. Ask during onboarding.

This article is explanatory and deliberately does not state a fund-protection position that is not established in the customer documentation. The applicable customer agreement prevails.

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