New Jersey

Who needs to register?

Under┬áNew Jersey statute, those receiving and transmitting money within the U.S. or abroad by any means, including payment instrument, wire, facsimile, electronic transfer or otherwise for a fee, commission or other benefit must register with the state. Those receiving money for obligors with the purpose of paying the obligors’ bills, invoices, or accounts for a fee, commission or other benefit must also register.

 

Who is the regulator?

New Jersey Department of Banking and Insurance

 

What are the money transmitter license requirements?

Registering as a money transmitter in the state of New Jersey requires the following fees and documentation:

  • $700 license fee
  • $50,000 net worth for foreign money transmitter, plus an additional $10,00 per location, not amounting to more than $400,000
  • $100,000 for a domestic money transmitter, plus an additional $25,000 per location, not amounting to more than $1,000,000
  • Audited financial statements for the most recent year, and two previous years, if available, demonstrating minimum net worth
  • SEC Filings
  • Personal information for each key shareholder with 25% or more of stock, executive officer, partner, owner, and each officer or manager to be in charge of applicant’s activities to be licensed in New Jersey
  • Electronic fingerprint processing
  • Letter from clearing bank confirming that applicant’s payment instruments will be drawn and through which payments will be payable
  • Sample delegate contract
  • Sample payment instrument
  • Corporate structure
  • Business activities and a history of operation
  • Books and records
  • Instructions for authorized delegates

 

What are the general bonding requirements?

Bonding requirements in New Jersey range between $100,000 and $1,000,000, and is determined on a case by case basis.

 

Additional resources:

New Jersey Money Transmitters 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.