Who needs to register?
Under Indiana statute, entities must obtain a money transmitter license if engaging in the business of the sale or issuance of payment instruments primarily for personal, family or household purposes; or engaging in the business of receiving money for transmission from, or transmitting to any location and by any means, including a payment instrument, wire, facsimile, or electronic transfer, primarily for personal, family, or household purposes.
Who is the regulator?
Indiana Department of Financial Institutions.
What are the money transmitter license requirements?
To register as a money transmitter in the state of Indiana requires the following fees and documentation:
- Documentation of the number of locations in Indiana, the number of proposed delegates in Indiana, and a sample delegate contract
- Identifying information of officers, directors, members, and entities or persons owning 10% or more of applicant, history of material litigation or conviction over the previous 5 years and employment history for 5 years prior
- Three references speaking to the financial responsibility, character, and fitness of the applicant (one reference must be a financial institution)
- A description of the business plan, history of operations, and prospective business activities in the state
- A list of branch locations
- A sample form of payment instrument
- Name and addresses of clearing banks
- A list of other states where applicant is operating as a money transmitter, providing state agency, date licensed, contact person, and telephone number
- Insurance policy against loss by a criminal or dishonest act, equivalent to the amount of the required security device or the deposit
- All business entities’ audited financial statements for current year and previous two years, balance sheet, income statement, statement of changes in shareholder equity, and statement of changes in financial position
- If available, applicant’s parent company’s current financial statements or parent’s 10K for the previous three years, unaudited financial statements, and a copy of the most recent peer review letter that CPA received
- If not a corporate, provide identification information and financial statements of person in charge of money transmission activities
What are the general bonding requirements?
Indiana money transmitters must have a $300,000 surety bond which must remain in effect during the 5 year period after the licensee ceases offering money transmission services in Indiana.