Connecticut's Department of Banking (DOB) regulates financial institutions and related entities, such as state-chartered banks and credit unions, securities, and consumer credit. It also works to protect consumers of financial services from unlawful practices. The Department's Consumer Credit Division licenses and regulates many financial businesses, including money transmitters.
A money transmitter is someone who is in the business of issuing or selling payment instruments or stored value, receiving money or monetary value for transmission, or transmitting money or monetary value within the United States or to locations outside of the United States. Money is transmitted by means including payment instrument, wire, facsimile, or electronic transfer.
Money transmitters must be licensed. Transmitting money without a license is a Class D felony. A part of the licensing process includes obtaining a surety bond.
Connecticut's Department of Banking is the obligee that requires money transmitters to hold a surety bond of at least $300,000 and can go up to $1 million, depending on the money transmitter's average weekly amount of money transmissions. The bond must remain in effect for two years after a license has been surrendered, revoked, suspended, or expired.
License fees are $1875, which includes $1250 licensing fee and $625 investigation fee.
Other Items needed for licensing:
(The Commissioner may determine that a higher amount may be necessary.)
The premium that you pay for a Connecticut Money Transmitter Surety Bond is dependent on credit and the bond amount required. Underwriting requirements will include providing business and personal financial statements.
Money transmitters may seek approval to use investments instead of meeting the bond requirement.
Check out our FAQ page or What’s a Surety Bond? page. Should you need or choose to buy a surety bond, buy from us. SuretyGroup.com has been underwriting surety bonds throughout the U.S. for more than 35 years. When you work with us, you enjoy the unique benefit of dealing with a team of highly experienced surety agents with in-house underwriting authority. This allows you to receive competitive, low rates, quick approvals, and immediate bond delivery. In most cases, your bond will be delivered within 24 hours after you apply for it.
For a downloadable application