Introduction | Mangopay docs

The payment activity of your platform’s users is subject to regulatory obligations. These obligations, often referred to as AML/CFT (for anti-money laundering and countering the financing of terrorism), are designed to prevent the misuse of the financial system for illegitimate purposes and protect your platform and users.

Mangopay applies restrictions and limits to users on your platform as part of its compliance with these regulations. To services, Mangopay must verify the identity of the user.

The identity verification process involves checking data about a user against evidence, such as official ID documents and selfies. In the case of legal entities, the process involves business data and documents and multiple individuals. Mangopay’s system of user types exists to differentiate between the processes that must be applied.

These processes are often referred to as KYC (know your customer), and for legal entities the term KYB (know your business customer) may also be used.

The KYC/KYB verification topic can be broken down into the following sections:

Restrictions and limits enforced, based on API attributes and your platform’s contractual status
Requirements per user type regarding the evidence needed
Mangopay’s hosted KYC/KYB solution, which your platform must integrate for all user types

Best practice - Check Mangopay’s user types and local KYB guidance

The nature of your user base, especially for legal entities or sole proprietors, determines the user type they need in Mangopay’s system, and therefore the KYC/KYB process required.

For a wide number of countries, Mangopay lists the local legal structures that should be onboarded under the relevant type.

Ensure you are familiar with the guidelines for the markets in which your users are based.

Proactive Owner verification

For EEA platforms contracted with Mangopay S.A. (using Payment Services), the restrictions applicable to pay-ins and transfers changed as of July 1, 2026. Existing integrations should refer to email communications for implementation timelines.

The new restrictions applicable to new integrations, mean that an OWNER whose KYCLevel is LIGHT can no longer:

Receive a transfer to a wallet they hold (as the holder of the transfer’s CreditedWalletId)
Receive a pay-in to a wallet they hold (as the holder of the pay-in’s CreditedWalletId) unless the pay-in has FlowDescriptor.Beneficiaries declared and all declared beneficiaries are verified Owners (KYCLevel is REGULAR) or PLATFORM users

For more information about the changes, refer to the dedicated guide →

UK-based platforms contracted with Mangopay U.K. Ltd. (using Electronic Money Services) are not impacted.

Scope

The application of KYC/KYB verification is governed by API attributes of the user object. Your platform’s contractual status with Mangopay determines the restrictions and limits that are applied.

User attributes

KYC/KYB verification is governed by API attributes of the user object. For more information about the differentiation between Payer and unverified Owners, see the categories guide.

User attribute Description

User attribute	Description
`UserCategory`	`PAYER` by default or can become `OWNER` when the user: Provides additional data in the User object Enrolls in Mangopay’s hosted SCA Accepts Mangopay’s T&Cs An `OWNER` can request KYC/KYB verification.
`KYCLevel`	`LIGHT` by default (and for `PAYER`) and becomes `REGULAR` when the user: Successfully completes the KYC/KYB verification process The `KYCLevel` can be downgraded from `REGULAR` to `LIGHT` by Mangopay for two reasons: Non-renewal as per the periodic renewal process A change of key identity data in the User object A downgraded `OWNER` is subject to the same restrictions and limits as one who has not yet been verified. If the User’s `KYCLevel` is `LIGHT`, the restriction applies.

UserCategory

PAYER by default or can become OWNER when the user:

Provides additional data in the User object
Enrolls in Mangopay’s hosted SCA
Accepts Mangopay’s T&Cs

An OWNER can request KYC/KYB verification.

KYCLevel

LIGHT by default (and for PAYER) and becomes REGULAR when the user:

Successfully completes the KYC/KYB verification process

The KYCLevel can be downgraded from REGULAR to LIGHT by Mangopay for two reasons:

Non-renewal as per the periodic renewal process
A change of key identity data in the User object

A downgraded OWNER is subject to the same restrictions and limits as one who has not yet been verified. If the User’s KYCLevel is LIGHT, the restriction applies.

Platform’s contractual status

The limits that are applicable to your users differ depending on:

Where your platform is registered (EEA or UK)
Which Mangopay entity your platform contracts with (Mangopay S.A. or Mangopay UK Ltd.)
Which kind of Mangopay services you use (Payment Services (PS) or Electronic Money Services (EMS))

These factors are all defined at the start of your partnership with Mangopay by your platform’s contractual agreement.

Mangopay offers one of two kinds of services to platforms:

Payment Services (PS) as Mangopay S.A. to platforms registered in the EEA
Electronic Money Services (E-Money Services, EMS) as Mangopay U.K. Ltd. to platforms registered in the UK

Mangopay S.A. is an EMI under Luxembourg law, authorized by the CSSF. Mangopay U.K. Ltd. is an EMI under UK law, authorized by the FCA. Read more about Mangopay’s EMI status.