ISLE OF MAN – 26 September 2023 – MuchBetter has officially resumed service in Europe today after a lengthy disruption due to an investigation into their previous European partner (an electronic money institution, that MuchBetter was an intermediary of), UAB PayrNet.
On 22 June 2023, the Bank of Lithuania made an announcement stating that it had decided to revoke UAB PayrNet’s license and initiate bankruptcy proceedings against them due to their severe and continuous regulatory breaches. This included anti-money laundering, reporting, safeguarding customers’ funds, sanctions and other requirements. The Bank of Lithuania also determined that due to revocation of the licence, UAB PayrNet must repay all customer funds within a given timeframe.
UAB PayrNet has since failed to settle with its customers by the 22 August deadline. MuchBetter’s legal team has made several concerted attempts to contact UAB PayrNet, all without success.
In keeping with the MuchBetter ethos of always putting its customers first and to ensure they do not suffer as a result of the UAB PayrNet issues, MuchBetter has chosen to settle the outstanding PayrNet balances of its European customers from its own funds. Settlements will be made via its new European partner with the final settlement figure is expected to reach millions of euros.
The move showcases the financial strength of MuchBetter while also demonstrating it has fully invested in their return to the European market. It further expresses MuchBetter’s appreciation for its customers’ continued support and patience. MuchBetter shares its customers’ frustrations at such a lengthy process and decided to settle using its own Company funds to prevent further disruption and provide reassurance to customers.
Once customers have accepted updated terms of service and agreements, MuchBetter customers in Europe will have access to both their accounts and previous account balances from before activity was paused in mid-February. More regulatory steps are required in some European countries, so while most customers can now access their funds, a few countries will have to wait a little longer. We will continue to keep our customers informed of developments.
With their return to Europe, MuchBetter has worked on improving the user experience of their digital wallet app, with further new and exciting features being delivered in coming months based on customer feedback and overall innovation.
A MuchBetter spokesperson said:
“Now that the Bank of Lithuania’s investigation into UAB PayrNet has concluded, we are excited to be back operating in Europe. The Bank of Lithuania has confirmed that we had nothing to do with the UAB PayrNet investigation and we are relieved to now have this behind us. Most importantly, we’re glad we can help ease the worries of our European customers by settling their outstanding balances held by UAB PayrNet rather than waiting for UAB PayrNet to release their funds.
We’d like to thank our customers for their patience and support and have some exciting things in the pipeline soon, including a loyalty programme.”
