Money transmitter bond cost
The South Dakota Department of Labor and Regulation requires money transmission professionals to post surety bonds to legally work within the state. Before beginning the bonding process, applicants should verify their required bond amount with the state in which they choose to do business. This bond must have $100,000 minimum coverage.
This specific bond type is subject to underwriting, meaning the amount you’ll pay depends on a review of your personal credit report as well as your required bond amount. Don’t worry about bad credit affecting your chance of posting a bond. The experts make the bonding process fast and easy for all applicants. Request your free bond quote now!
Why this bond
South Dakota money transmitter surety bonds guarantee that principals (money transmission professionals) conduct business in compliance with Chapter 51A-17 of the Codified Laws in the South Dakota Statutes and all other laws applicable to the business of money transmission. If fraudulent activity occurs as a result of malpractice conducted by the principal, consumers will not face any financial harm. Acts of malpractice include:
- The licensee violates any material provision of Chapter 51A-17
- The licensee conducts its business in an unsafe or unsound manner
- The licensee applies for an adjudication of bankruptcy
Money transmitter bond details
South Dakota money transmitter surety bonds remain in effect for one year after purchase and can be renewed each year with an $800 fee. The applicant must have a minimum net worth of $100,000 to apply for this bond.
Become a money transmitter
To become a licensed money transmitter in South Dakota, applicants must provide the following information on the license application:
- The exact name of the applicant and their principal address
- A description of the activities conducted by the applicant and a history of operations
- Two sets of completed fingerprint cards and a signed waiver to authorize the division to conduct a criminal background investigation of the applicant
In addition, applicants must submit a nonrefundable $500 application fee for the principal office.
Upon the filing of the application, a mandatory investigation will be conducted to determine if all required criteria are met by the applicant.
Take the first step toward becoming licensed in South Dakota by purchasing the surety bond you need quickly, easily and accurately!
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