South Carolina Money Transmitter Bond
A quick guide to one of the most important license requirements for money transmitters in South Carolina!
What is a Money Transmitter Bond?
A surety bond is a requirement for those who are intending to become licensed money transmitters in the State of South Carolina.
The surety bond will serve as an assurance to the South Carolina Attorney General that the licensee will perform money transmission services in accordance with the South Carolina Anti-Money Laundering Act.
The money transmission services includes, but is not limited to, the following:
- Transmit within the country or outside of the United States the money received
- Sell or issue payment instruments or stored value
The surety bond will also cover any damages due to the money transmitter’s misconduct or noncompliance to the aforementioned Act as well as to the other applicable rules and regulations.
What is the Money Transmitter Bond amount?
$50,000 – the bond amount for the first location
$10,000 – bond amount per additional location. However, the bond amount should not exceed $250,000.
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 obtain a Money Transmitter Bond?
In order to secure this type of bond, the license applicant must seek the assistance of a surety bond company.
You will be asked to apply for this bond. If you’re ready to apply for one right now, you may easily do so HERE!
Once the application is received, the surety bond company will immediately process it. In our case, one of our expert surety bond agents will guide you through the whole process from the time you applied for the bond. We will make sure that you understand all the conditions before we issue the bond.
An underwriter will then evaluate the following:
- Your financial strength
- Your job/business performance history
- Your credit score
Once the prequalification process is fulfilled, we will execute the bond and send it to you!
What are the surety bond conditions?
- The surety bond agent or company should be authorized to conduct business in the State of South Carolina
- The licensed money transmitter is required to comply with the provisions of the South Carolina Anti-Money Laundering Act or Title 35 of the South Carolina Code of Laws as well as the rules set forth by the South Carolina Attorney General
- If the licensed money transmitter commits a valid violation, the aggrieved party will be eligible to file a claim against the surety bond
- The surety bond must cover claims for at least five years after the money transmitter has ceased operations