The Full Florida Money Transmitter License Guide [2020 Update]
Do you wish to start a money transmission business in Florida? You have to obtain a Florida money transmitter license before you can launch your operations.
In order to get licensed, you have to undergo a rigorous process. You need to showcase a number of documents proving your experience, financial stability, and overall suitability for the job. The purpose is to ensure that licensees meet all necessary requirements for engaging in money transmission activities.
Learn the basics about the requirements and the process in the guide below.
Meet the Florida Money Transmitter License Requirements
The licensing body that oversees the activities of money transmitters in Florida is the Office of Financial Regulation. It ensures that you comply with Chapter 560 of the Florida Statutes and any other applicable rules and regulations.
By getting licensed with the Office, you will get the right to transmit currency, monetary value and payment instruments. The methods that you are allowed to use include wire, facsimile, electronic transfer, courier, and internet.
You can apply for two license types:
- Part II – Money Transmitters and/or Payment Instrument Issuers
- Part III – Check Cashers and/or Foreign Currency Exchangers
The first step that you need to take is to register your business entity in the state. You can do this through the Florida Division of Corporations.
Then you have to compile all the necessary documents, which include:
- Formation documents
- Trade name (if applicable)
- Personal contact information and biographical summary
- IRS Employee Identification Number (FEID) or SSN for for sole proprietors
- Primary employees information
- Registered agent in the state (if applicable)
- Disclosure questions (covering criminal, regulatory action and civil litigation issues)
- Financial information
- Registration with the Financial Crimes Enforcement Network (for money services businesses)
- Anti-Money Laundering (AML) policy
Provide a Surety Bond
In case you are applying for a Part II license as a money transmitter or payment instrument issuer, you need to provide a Florida money transmitter bond. This is an indispensable requirement that guarantees your legal compliance. The bond ensures the interests of your customers are protected.
The bond amount that you have to obtain can be between $50,000 and $2 million. It depends on your money transmissions and payment instruments projected or sold in one year. You have to provide the bond in the official form.
To get bonded, you have to pay a fraction of the required amount. It is called the bond premium. Your personal and business finances determine its exact amount. If they are in good standing, you can expect rates between 0.5% and 5%. In the case of money transmitter bonds, it’s important to note that the cost may also be dependent on the type of currency that you want to handle, as working with some is seen as riskier than others.
Want to see the exact cost of your Florida money transmitter bond? Fill in the short form below!
If applying for a Part II license, you need to provide your audited financial statements. They have to demonstrate that you meet the minimum net worth requirements. For one branch, the net worth should be $100,000. For every extra location or authorized vendor, another $10,000 is required. The maximum required net worth can be up to $2 million.
Complete the Florida Money Transmitter License Application
You have to complete the application form and attach to it all required documents.
Then you need to submit them via the Online Services portal.
Once licensed, you can use the Florida money transmitter license search to verify that your status is active.
License and Registration Fees
The licensing fees that you have to cover are:
- Part II – $375
- Part III – $188
Have further questions about getting your Florida money transmitter license and bonding? You can contact us at 877.514.5146.