Indiana Money Transmitter License Surety Bond

Indiana's Department of Financial Institutions supervises and regulates money transmitter businesses under the Indiana Money Transmitter Act. Out-of-state locations that do business with Indiana residents are subject to the Indiana Money Transmitter Act and its licensing requirements.

Money transmitters sell or issue payment instruments, or engage in the business of receiving money for transmission from, or transmitting money to another location by any means, including a payment instrument, wire, facsimile, or electronic transfer.

A payment instrument can include a check, draft, money order, traveler's check, or an instrument or written order for the transmission or payment of money. It does not include a credit card voucher, a letter of credit, or an instrument that is redeemable by the issuer in goods or services.

A part of the application process includes obtaining a $300,000 surety bond or other type of security.

Obligee and Surety Bond Requirements

The Indiana Department of Financial Institutions is the obligee requiring a $300,000 surety bond or other security device. The security guarantees the faithful performance of the licensee's obligations to receive, handle, transmit, and pay money. A surety bond must be secured through a company that is authorized to do business in Indiana. SuretyGroup.com fulfills that requirement.

License Requirements

Initial license applications must include an application fee of $1,000, paid for with a check or money order to the Department of Financial Institutions. Renewals are due by Dec.31 each year with a fee of $500 plus $10 per authorized delegated agent, to a total maximum fee of $2,000.

Requirements to be completed in NMLS:

• Submission of Company Form (MU2) - this form serves as the application
• Financial Statements show a company net worth of $600,000
• Other Trade Names
• Resident/Registered Agent
• Primary Contract Employees
• Non-Primary Contract Employees
• Approvals and Designation - enter the company's FinCEN Registration Confirmation Number
• Bank Account information
• Disclosure questions with explanations for every "yes" answer
• Qualifying Individual
• Control Person (MU2) Attestation
• MU2 Individual FBI Criminal Background Check
• Surety Bond $300,000 submitted by a surety company that is authorized to do business in Indiana. SuretyGroup.com is licensed in Indiana and meets that requirement.
• AML/BSA Policy (Anti-Money Laundering / Bank Secrecy Act)
• Business Plan
• Certificate of Authority/Good Standing Certificate
• Company Staffing and Internal Policies
• Document Samples
• Errors and Omissions Insurance
• Flow of Funds Structure
• Formation Documents
• Management Chart
• Organizational Chart/Description
• Credit Report Explanations
• Legal Name/Status Documentation
• Verification of Experience

Requirements submitted outside of NMLS:

• MU2 Individual out-of-county Criminal Background Check
• Non-Financial External Audits

How Much Does This Bond Cost?

The premium that you pay for an Indiana Money Transmitter Surety Bond is dependent on credit and the bond amount required. Our rates start at 1.5% of the bond amount with good credit. Personal and business financial statements will be required for the underwriting process. Contact our Surety Bond Specialists for a free quote that fits your specific situation.

Did You Know?

The Director may conduct annual on-site examinations of licensees or delegates, with a 45-day written notice.

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