Money Servicers
Applications for Money Servicer license must be completed using the forms listed below. Incomplete applications will not be considered for processing until the required fee and all required submissions have been received by the Vermont Banking Division
- Who is required to have this license?
- Who does not need this license?
- What are the pre-requisites for license application?
Jurisdiction Specific Forms:
- Instructions and Application Form
- Tax and Child Support Certification
- Biographical Report
- Authority to Release Information (Applicant)
- Authority to Release Information (Individual and/or Authorized Delegate)
- Certification by Licensing Agency
- Financial Information
- Surety Bond Form
Reports
- Money Services Quarterly Activity Reports (required by money transmitters, check cashers & currency exchangers)
- Annual Report of Licensee for YE 12/31/2011
- Annual Report of Licensee for YE 12/31/2010
- Annual Report of Licensee for YE 12/31/2009
Vermont Related/Referenced Statutes & Regulations:
- Title 8, V.S.A., Chapter 79, Money Servicers
- Title 8, V.S.A., Chapter 81, Gift Certificates
Who is required to have this license?
- Any company or person who engages in the business of selling or issuing payment instruments, selling or issuing store value, or receiving money or monetary value for transmission to a location within or outside of the United States.
- Any person engaged in check cashing whereby they receive at least $500.00 compensation within a 30-day period, i.e. taking payment instruments or stored value,other than traveler’s checks, in exchange for money, payment instruments, or stored value.
- Any person engaged in currency exchange whereby they receive revenues equal to or greater than 5% of total revenues from the exchange of money of one government for the money of another government.
Who does not need this license?
The following is a partial list of exceptions. For a complete list of exceptions, please refer to 8 V.S.A. § 2501
- a financial institution
- the United States Postal Service
- a board of trade designated as a contract market , under the Commodity Exchange Act
- a person that provides clearance or settlement services pursuant to a registeration as a clearing agency under the federal securities laws
- an operator of a payment system that provides processing, clearing, or settlement services, between or among persons licensed as a money servicer or excluded from licensure, in connection with wire transfers, credit card transactions, debit card transactions, stored-value transactions, automated clearing house transfers, or similar funds transfers.
- a person registered as a securities broker-dealer under federal or state securities law
- a seller of goods or services that cashes payment instruments incidental to or independent of a sale and does not charge in excess of $1.00 for cashing the payment instrument
- a Vermont licensed debt adjuster
What are the pre-requisites for license application?
Applicant, or any of such members, officers, directors, or persons in control of the applicant, can not have been convicted of a felony or have a record of defaulting in the payment of money collected for others, including the discharge of such debts through bankruptcy proceedings.
Bond amount:
Money Transmitter - $100,000.00, minimum amount (the bond amount increases by $10,000.00 per location, not to exceed $500,000.00). Commissioner may increase the amount of security required to a maximum of $2,000,000.00.
Check Casher/Currency Exchanger – No bond requirement.
Registered Agent recorded with the Vermont Secretary of State.