Payments Canada has filed a submission to the Government of Canada supporting proposed amendments to the Canadian Payments Association Election of Directors Regulations that would relax the independence criteria for Payments Canada independent directors. The proposal would reduce the cooling-off period in the criteria from three years to one year and allow directors, senior officers or employees of entities eligible for membership but not members of Payments Canada to serve as independent directors, provided those entities are not majority-owned or controlled by one or more members. Payments Canada linked the changes to recent amendments to the Canadian Payments Act that expanded eligibility for membership to additional categories, including payment service providers under the Retail Payment Activities Act, credit union locals, and operators of designated clearing and settlement systems under the Payment Clearing and Settlement Act. It argued that the existing rules automatically disqualify individuals from any entity eligible for membership, which materially shrinks the pool of candidates with current payments expertise, and that a one-year cooling-off period better balances independent judgment with access to recent and relevant industry experience while the wider independence framework remains in place. The consultation closed on November 10, 2025.
Payments Canada 2025-11-21
Payments Canada backs amendments to Election of Directors Regulations to widen independent director eligibility and cut cooling-off period to one year
Payments Canada proposed amendments to the Canadian Payments Association Election of Directors Regulations, reducing the cooling-off period for independent directors from three years to one and allowing individuals from eligible entities, but not members, to serve as independent directors. Payments Canada argues this would expand the candidate pool with relevant expertise while maintaining independence.