New Hampshire Money Transmitter Surety Bond

The New Hampshire Banking Department supervises the licensing of money transmitters in the state.

A money transmitter engages in the business of selling or issuing payment instruments or stored value, or receiving currency or monetary value for transmission to another location. Payment instruments include any electronic or written check, draft, money order, and traveler's check.

State laws require the Department to ensure compliance with state and federal laws and regulations. The Department has the authority to investigate consumer complaints, hold public hearings, assess fines, and order restitution if the laws and regulations are violated. One of the conditions of licensing as a money transmitter in New Hampshire is obtaining a $100,000 surety bond.

Surety Bond Requirement:

New Hampshire money transmitters must register with the Secretary of the State and upload a $100,000 surety bond in NMLS before they can be issued a license. The bond must be payable to the Bank Commissioner of the State of New Hampshire. No business may begin until the license has been approved and issued. A surety company must give a 30-day written notice to the Commissioner before canceling or terminating a bond.

A surety bond is required to protect consumers in the event a money transmitter (the licensee) fails to comply with the state regulations and laws. If found in violation, a claim may be placed against the bond, and the licensee (the principal listed on the bond) is responsible for repayment of the claimed amount. If the surety pays the claim, the principal is required to reimburse the surety.

License Requirements:

The principal office of the applicant must be licensed even if it's not located in New Hampshire. A non-refundable fee for a principal location is $500. Authorized delegates that are located in New Hampshire must be registered and pay a $25 fee for each, up to $4500.

The licensing process requires providing an application which includes:

• Submission of Company Form (MU1), which is the application for licensing and registration
• Financial statements
• Other trade name
• Resident/registered agent
• Primary contact employees
• Non-primary contact employees
• Approvals and designations
• Bank account
• Disclosure questions
• Qualifying individual
• Control person (MU2) Attestation
• Credit report
• MU2 individual FBI criminal background check requirement
• AML/BSA Policy (anti-money laundering / bank security act)
• Business plan
• Certificate of authority/good standing certificate
• Company staffing and internal policies
• Document samples
• Formation document
• Management chart
• Organizational chart / description
• $100,000 Surety bond

How Much Will This Bond Cost?

The premium that you pay for a New Hampshire Money Transmitter Surety Bond on credit and personal and business financial statements. Our rates start at 1.5% of the bond amount with good credit. Contact our Surety Bond Specialists for a free quote that fits your specific situation.

Did You Know?

Licensees must maintain a net worth of $1 million or its average daily outstanding money transmissions during the prior calendar year, whichever is lower.

Related Links

New Hampshire Banking Department - Money Transmitter Forms
NMLS - New Hampshire Application