Terms and conditions of the payment initiation service

Valid from 22.12.2021

1. GENERAL PROVISIONS

   1. The terms and conditions of the payment initiation service (hereinafter Conditions) govern the relations between AS LHV Pank (hereinafter Bank) and the Remitter (hereinafter Remitter) in the use of the payment initiation service (hereinafter Service) as well as any other circumstances related to the above.
   2. In issues not regulated by the Conditions, the Bank and the Remitter shall be governed additionally by the terms and conditions of the payment service agreement, the Bank’s general terms and conditions and any other documents referenced therein insofar as this does not conflict with these Conditions.
   3. Merchant is the Bank’s client, with whom the Bank has concluded an agreement on payment acquiring.
   4. According to the legislation regulating the activity of credit institutions, supervision over the activities of the Bank is performed by the European Central Bank in cooperation with the financial supervisory authority of the Republic of Estonia, being the Financial Supervision Authority (Sakala 4, 15030 Tallinn; www.fi.ee).
   5. In the event of complaints, the Remitter shall submit its claim in writing at info@lhv.ee, read more about the procedure for handling complaints here.
   6. The use of Service shall be governed by the law of the Republic of Estonia.

2. SERVICE

   1. The Service enables the Remitter to initiate payments on the website or in another environment based on the payment data predefined by the merchant at the predefined payment services provider from the payment account opened in the Remitter’s name (hereinafter Account), which can be accessed through the internet and for the data relating to which the Remitter has given the consent to the Bank for obtaining access.
   2. By using the Service, the Remitter gives the Bank their consent for obtaining limited access to the Account details and for their processing for the purpose of initiating a payment pursuant to the Remitter’s instruction and to the payment service provider for the execution of the payment transaction. The Bank has a right to process the Remitter’s personal data, which it has become aware of during the provision of the Service, in order to provide the Service and, when it is necessary for ensuring the prevention, investigation and detection of payment fraud. The Remitter’s personal data shall be processed in conformity with the Bank’s General Terms and Conditions and the Principles for Processing Customer Data, which are available on the Bank’s website www.lhv.ee.
   3. In order to use the Service, the Remitter must, upon giving a payment transfer order, authenticate themselves (authentication obligation) and the payment transaction with a strong means of authentication (SCA – Strong Customer Authentication, e.g. a mobile-ID, ID-card, Smart-ID or another two-factor authentication solution) in accordance with the terms and conditions of the payment service provider who services the account.
   4. Before providing the Service, the Bank shall make available to the Remitter its registered address, the address of its head office and contact details and when preparing the payment order serving as the basis for the transfer order by the Remitter, proceeds from the technical specification and the information received from the Merchant, by presenting to the Remitter immediately after initiating the payment (and upon need to the Merchant and the payment service provider servicing the Account):
      1. a confirmation that the payment has been successfully initiated at the payment service provider servicing the Account;
      2. reference number, by which it is possible to identify the payment transaction, and any other information forwarded together with the payment transaction;
      3. amount of the payment transaction.
   5. Execution of a payment transaction on the basis of a transfer order confirmed by the Remitter is regulated by the terms and conditions of the payment service provider servicing the Account.
   6. The Bank shall execute the payment transaction requested by the Remitter after it has been confirmed by the Remitter. As of that moment, the Remitter can no longer reject the transaction or withdraw the consent given to the Bank for enabling access to the Account for the purpose of providing the Service.
   7. When providing the Service, the Bank shall not keep the Remitter’s funds in the Bank’s account in any stage of the payment chain.
   8. The Bank shall not be responsible for the execution of the payment order when providing the Service (incl. for observing the execution times).
   9. The Bank shall not charge an extra fee for providing the Service. Any possible fees of the payment service provider for the Remitter for servicing the Account in connection with using the Service arise from the terms and conditions established by the payment service provider servicing the Account.