Montana

Who needs to register?

Under Montana statute, a person engaging in an escrow business must be licensed. Escrow is defined as any transaction in which one person, for the purpose of effecting the sale, transfer, encumbrance, or lease of real or personal property to another person or for the purpose of making payments under any encumbrance of the property, delivers any written instrument, money, evidence, title to real or personal property, or other things of value to a third person to be held by that third person until the happening of a specified event or the performance of a prescribed condition, when the instrument, money, evidence, title, or thing of value is to be delivered by the third person to a grantee, grantor, promisee, promisor, obligee, obligor, bailee, or bailor or to any agents or employees pursuant to the written escrow instructions.

 

Who is the regulator?

Montana Division of Banking and Financial Institutions

 

What are the money transmitter license requirements?

To apply in Montana the following fees and documentation is required:

  • Application must be in writing, verified by oath, and in the form prescribed by the director
  • Location of applicant’s principal office and all branch offices in this state
  •  The name and form under which the applicant plants to conduct business
  • General plan and character of the business
  • Names, residences, and business addresses of any principals, partners, officers, trustees, and directors, specifying as to each the respective capacity and title
  •  Experience and qualifications of the persons proposed to act as officers and managers
  •  Length of time the applicant has been engaged in the escrow business
  • Officers and managers of proposed escrow businesses must demonstrate through past record and present status as purveyors of escrow services and as business persons and citizens, that they are likely to operate their proposed escrow businesses in compliance with all applicable laws of the state and local governments
  • Any other relevant information the director requires
  • Initial license fee of $350
  • Non-refundable application fee of $350

 

What are the general bonding requirements?

An applicant must file with the Division of Banking and Financial Institutions a bond in the amount of $100,000 along with the application for licensure.

 

Additional resources:

Montana Regulation of Escrow Businesses Act

 

 

Disclaimer: Information provided by Shipkevich, PLLC and any of its affiliated web pages is for general educational purposes only, and should not be taken as legal advice.