What is a New York Money Transmitter Bond?
See why this surety bond matters to your business and how to get one fast!
Money transmitters cannot conduct business in the State of New York without acquiring a license first. And that license requires a surety bond.
Some of a money transmitter’s services include:
- Receiving money for transmission
- Selling or issuing payment instruments such as check, draft, money order
- Selling or issuing checks including traveler’s checks
- Maintaining permissible investments
It is a licensure requirement for every money transmitter in the State of New York. It is mandated by Article 13-B of the New York Banking Law and is enforced by the New York State Department of Financial Services.
The purpose of the surety bond is to ensure that the money transmitter will provide its services according to the laws of the state. It will also be conditioned that the surety bond will cover any claims that may arise from the money transmitter's potential wrongdoings.
What is the Money Transmitter Bond amount?
The license applicant may be asked to file one or more surety bonds by the Superintendent.
- $500,000 – the minimum bond amount for money transmitters that sells or issues New York Instruments
- $750,000 – the minimum bond amount for money transmitters that sells of issues New York traveler’s checks
If you have an excellent credit score, you will be eligible to pay for a low bond premium or just 1% of the bond amount!
Check out what you need to pay by getting your FREE SURETY BOND QUOTE HERE!
How can I get a Money Transmitter Bond?
You can easily get this surety bond from us! We will guide you through the entire process. We’ll make sure that you will understand what you are getting into.
Here’s how to get bonded:
- You have to send an application to us. If you are ready to do that now, you may APPLY HERE!
- After we have received your application, we will ask you to submit the necessary information needed for the underwriting process. These are the following:
- Your financial capability
- Your business or job performance history
- Your credit score
An expert underwriter will carefully evaluate all three to attain the best credit decision possible. To avoid any delay, the information that you should submit should be organized and concise.
- Your surety bond will be issued and sent to you!
What are the surety bond conditions?
- The surety who will issue the bond should be authorized to conduct business in the State of New York
- The licensed money transmitter should obey the provisions of Article 13-B of the New York Banking Law, as well as the rules and regulations of the New York State Department of Financial Services
- If the licensed money transmitter commits a violation, the aggrieved party will be eligible to file a claim against the bond
Get your bond immediately! APPLY NOW!