Money transmitters must abide by a new law that was presented in Mississippi State. The new law is named SB 2652 and alters the quantity of the surety bond required for sellers of checks and it also reclassifies them as money transmitters. The previous law required a surety bond or other security at a minimum of $25,000 and an added $15,000 for every additional company location, which was capped at $250,000. The new legislation requires a surety bond of $25,000 or a quantity equivalent to the amount of outstanding money transmissions in Mississippi. SB 2652 amplifies the cap on the surety bond to $1 million. Additionally, depending on the financial state of the licensee, the Commissioner of Banking and Consumer Finance has the option to require a surety bond in surplus of $1 million.
Eric is the Chief Marketing Officer of JW Surety Bonds. With years of experience in the surety industry, he is also a contributing author to the surety bond blog.