The definition of money transmitter varies between states. However, if
your business engages in any type of money services – and also meets more than one of the criteria
below – there’s a high chance you’ll need a money transmitter license.
General criteria:
- You issue or sell payment instruments or stored value.
- Your business acts as a financial intermediary, and it’s neither originator or beneficiary of money or monetary value transactions.
- You can apply fees for processing transmissions or transmitting money within the country or abroad.
- Money may transverse through your company’s bank account as part of the transaction process.
Each state follows their own unique licensing process. Even within a
state, requirements can vary across different municipalities. However, the general steps a new license
applicant must go through are very similar.
Additional information about all state license regulators is available at
the end of the article.
Note: Due to the high number of Money Transmitter businesses in some
areas, we’ve also created comprehensive guides for the following states:
Step #1: Access Money Transmitter Application Forms and Related Documents
Oftentimes you can access a complete application packet, which includes a
list of requirements, either from the state license regulator’s website or the relevant licensing
agency. For a list of all regulators, see the “State License Regulators” section.
Step #2: Fulfill Requirements and Complete Required Documents
Most of the time, you must complete your application and all related
documents before continuing with the next steps on this list. Some states may also have certain
prerequisites for licensure (eg. FinCEN registration) that need to be completed prior to the
application process.
Most states include a requirements list you need to follow. Some required
documents are included in the application packet. If that isn’t the case, you’ll receive instructions
on how to obtain them.
Step #3: Obtain Your Money Transmitter Bond
Almost all states require a surety bond to be submitted with your
application. A money transmitter bond protects your clients by ensuring that you follow the regulations
set by your state. You'll want to be sure you get your bond from a money transmitter license bond
expert to avoid any headaches or delays.
Step #4: License Fees
Licensing fees can vary a great deal across the country. Most states
require applicants to pay an application and/or registration fee, but a number of other additional fees
may also apply. Some must be paid prior to submitting your application, while others may be paid at a
later point in time (or whenever your business opens a new location).
Step #5: Submit Your Money Transmitter License Application
Many states have adopted electronic document management systems, though
certain documents may still need to be filed via regular mail service. Be sure to follow the
instructions provided by the license regulator.
Step #6: Receive Your Money Transmitter License
Once the required information has been submitted, your application will be
reviewed by the state. Upon approval, the license will be sent to the address you’ve provided. The
process may take a few weeks.
State License Regulators:
As noted previously, licensing is regulated on a state level and
requirements can differ across states. In most states, new Money Transmitter license applications are
managed through the Nationwide
Mortgage Licensing System (NMLS).
Here’s a list of state-level regulators and governmental agencies involved
in managing the licensing and registration of new Money Transmitter businesses. Note that some of the
links might be outdated due to recent changes in the application or license management process.
-
Alabama Money Transmitter License
Regulator: Alabama Securities Commission
New License Management: Alabama
-
Alaska Money Transmitter License
Regulator: Department of Commerce,
Community, and Economic Development: Banking & Securities
New License Management: NMLS
-
Arizona Money Transmitter License
Regulator: Arizona Department of Financial
Institutions
New License Management: NMLS
-
Arkansas Money Transmitter License
Regulator: Arkansas Securities
Department
New License Management: NMLS
-
California Money Transmitter License
Regulator: California Department of Business
Oversight
New License Management: NMLS
-
Colorado Money Transmitter License
Regulator: Department of
Regulatory Agencies
New License Management: Department of Regulatory Agencies
-
Connecticut Money Transmitter License
Regulator: Connecticut Department of Banking
New License Management: NMLS
-
Delaware Money Transmitter License
Regulator: Office of the State Bank
Commissioner
New License Management: Office of the State Bank Commissioner
-
District of Columbia Transmitter License
Regulator: Department of Insurance, Securities and Banking
New License Management: NMLS
-
Florida Money Transmitter License
Regulator: Florida Office of Financial Regulation
New License Management: Florida Office of Financial Regulation
-
Georgia Money Transmitter License
Regulator: Department of Banking & Finance
New License Management: NMLS
-
Hawaii Money Transmitter License
Regulator: Department of Commerce & Consumer
Affairs: Financial Institutions
New License Management: NMLS
-
Idaho Money Transmitter License
Regulator: Idaho Department of Finance
New License Management: NMLS
-
Illinois Money Transmitter License
Regulator: Illinois Department of Financial &
Professional Regulation
New License Management: NMLS
-
Indiana Money Transmitter License
Regulator: Indiana Department of Financial
Institutions
New License Management: NMLS
-
Iowa Money Transmitter License
Regulator: Iowa Division of Banking
New License Management: NMLS
-
Kansas Money Transmitter License
Regulator: Office of the State Bank
Commissioner
New License Management: NMLS
-
Kentucky Money Transmitter License
Regulator: Department of Financial Institutions
New License Management: NMLS
-
Louisiana Money Transmitter License
Regulator: Louisiana Office of Financial
Institutions
New License Management: NMLS
-
Maine Money Transmitter License
Regulator: Department of
Professional & Financial Regulation: Bureau of Consumer Credit Protection
New License Management: NMLS
-
Maryland Money Transmitter License
Regulator: Department of Labor, Licensing &
Regulation
New License Management: NMLS
-
Massachusetts Money Transmitter License
Regulator: Consumer
Affairs & Business Regulation: Division of Banks
New License Management: NMLS
-
Michigan Money Transmitter License
Regulator: Department of Licensing & Regulatory Affairs
New License Management: NMLS
-
Minnesota Money Transmitter License
Regulator: Department of Commerce
New License Management: NMLS
-
Mississippi Money Transmitter License
Regulator: Mississippi Department of Banking & Consumer Finance
New License Management: NMLS
-
Missouri Money Transmitter License
Regulator: Division of Finance
New License Management: Division of Finance
-
Montana Money Transmitter License
Regulator: Division of Banking & Financial Institutions
New License Management: Division of Banking & Financial Institutions/
-
Nebraska Money Transmitter License
Regulator: Department of Banking & Finance
New License Management: NMLS
-
Nevada Money Transmitter License
Regulator: Department of Business & Industry: Division of Financial Institutions
New License Management: NMLS
-
New Hampshire Money Transmitter License
Regulator: Banking Department
New License Management: NMLS
-
New Jersey Money Transmitter License
Regulator: Department of Banking & Insurance
New License Management: Department of Banking & Insurance
-
New Mexico Money Transmitter License
Regulator: New Mexico Regulation & Licensing Department
New License Management: NMLS
-
New York Money Transmitter License
Regulator: Department of Financial Services
New License Management: NMLS
-
North Carolina Money Transmitter License
Regulator: Commissioner of Banks
New License Management: NMLS
-
North Dakota Money Transmitter License
Regulator: Department of Financial Institutions
New License Management: NMLS
-
Ohio Money Transmitter License
Regulator: Department of Commerce
New License Management: NMLS
-
Oklahoma Money Transmitter License
Regulator: Banking Department
New License Management: NMLS
-
Oregon Money Transmitter License
Regulator: Division of Finance & Corporate Securities
New License Management: NMLS
-
Pennsylvania ama Money Transmitter License
Regulator: Department of Banking & Securities
New License Management: NMLS
-
Rhode Island Money Transmitter License
Regulator: Department of Business Regulation
New License Management: NMLS
-
South Carolina Money Transmitter License
Regulator: State Board of Financial Institutions: Consumer Finance Division
New License Management: NMLS
-
South Dakota Money Transmitter License
Regulator: Department of Labor & Regulation
New License Management: NMLS
-
Tennessee Money Transmitter License
Regulator: Department of Financial Institutions
New License Management: NMLS
-
Texas Money Transmitter License
Regulator: Department of Banking
New License Management: NMLS
-
Utah Money Transmitter License
Regulator: Department of Financial Institutions
New License Management: NMLS
-
Vermont Money Transmitter License
Regulator: Department of Financial Regulation
New License Management: NMLS
-
Virginia Money Transmitter License
Regulator: State Corporation Commission
New License Management: NMLS
-
Washington Money Transmitter License
Regulator: Department of Financial Institutions
New License Management: NMLS
-
West Virginia Money Transmitter License
Regulator: Division of Financial Institutions
New License Management: NMLS
-
Wisconsin Money Transmitter License
Regulator: Department of Financial Institutions
New License Management: NMLS
-
Wyoming Money Transmitter License
Regulator: Division of Banking
New License Management: NMLS