Licensees and applicants for a money transmitter license must have and maintain a surety bond in a form and terms acceptable and payable to the Department. Minimum bond requirements for money transmitters is $250,000. Additional bond coverage may be required, but may not exceed $2,000,000.
Electronic Surety Bonds (ESB)
Electronic surety bonds must be submitted through the Nationwide Multistate Licensing System (NMLS). See the ESB Adoption Map and Table for more information.
What is a surety bond and why do I need to have one?
A surety bond is a three-party instrument between a surety (insurance company), the licensee, and the Department. The agreement binds the licensee to comply with the terms and conditions of the laws and regulations concerning the issuance of their license. If the licensee is unable to successfully meet those requirements, the surety assumes certain monetary obligations required for performance under that surety bond for the licensee, and ensures that the obligations are met. Such obligations may be those owed to qualifying consumers, other creditors, or the Department.
Can the Department return my bond?
The Department cannot return a bond to a licensee or its surety.
Can the Department release the Surety from liability?
The Department cannot execute a general release that discharges a surety from any past, present or future liability under a bond.