According to the legal definition contained in Section 1 para. 1 sentence 2 No. 1 of the German Payment Services Supervision Act (ZAG), cash placement business refers to services which enable cash deposits to a payment account as well as all transactions required to maintain a payment account.
Cash placement business, for example, cash payment services (such as barzahlen.de), so-called cash transfers (in banking practice also referred to as payments in favour of third parties) and – under certain conditions – also the operation of cash recyclers.
Cash placement business constitutes a payment service. Anyone wanting to carry out cash placement businesscash placement business at a professional level requires a licence to do so (in Germany this is a licence from BaFin).