Alabama Money Transmitter Licensing Requirements:


Who needs to be licensed as a money transmitter licensee?

Under Alabama statute, all entities selling, receiving, or dispensing money, or receiving money as an agent, must obtain a money transmitter license in the state.

Specific license requirements for Alabama money transmitters.

Registering as a general money transmitter in Alabama requires the following fees and documentation:

• Background information: state of incorporation, location of principal office, director, officer, and member information
• Location of all offices and agencies
• $250 investigative fee
• $250 licensing fee + $5 for each additional location within state, not amounting to more than $500.
• Most recent audited financial statements, proving a net worth of $5,000
• History of money transfer business within Alabama and other states
• Documents detailing officers’, managing partners’, and principals’ experience with operating money transmitters
• Details of other business activities
• Complete list of Alabama business activities, clients, and periods of operation within Alabama
• Disciplinary history for last 10 years
• Documents outlining procedures for receiving money, confirming receipt, safeguarding money, and transmitting money to its designated location
• Name and address of any separate bank account used for deposit and transmission
• List of five business references

What are the Alabama surety bonding requirements?

Bonding requirements for Alabama money transmitter license include:

• $50,000 surety bond
• $10,000 bond for each extra location, not amounting to more than $250,000. (Note: transmitters may increase the amount up to $1 million, upon provisional basis.)

Additional resources: Uniform Money Services Act