Bill > HB271

This bill, titled "Money Services Business: Reqs; Licensing;," aims to modernize and strengthen regulations for businesses that transmit money, often referred to as Money Services Businesses (MSBs). Key provisions include requiring MSBs to register and obtain a unique identifier through the Nationwide Multistate Licensing System and Registry (NMLS), a national database for financial services licensing. The bill also revises surety bond requirements, which are financial guarantees to protect consumers, by setting new minimum and maximum amounts and clarifying their purpose. It allows certain licensed MSBs to contract with subdelegates for reloading funds onto stored-value cards, which are cards that hold a certain amount of money for future use. Furthermore, the bill updates record retention and reporting requirements, expands the scope of regulations to include virtual currency activities, and clarifies definitions related to money transmission and currency exchange. It also introduces new exemptions and strengthens enforcement provisions, including the department's authority to issue administrative orders and impose penalties. The bill also makes changes to licensing procedures, including application processing times and appeal processes, and requires MSBs to comply with federal anti-money laundering statutes. Finally, it clarifies the application of these regulations to internet activities and updates definitions to encompass new forms of digital currency and financial services.