The Money Transmitter Division of DBO licenses and regulates money transmitters, which includes issuers of payment instruments (money orders), travelers checks and stored value. Per the California Money Transmission Act, “Money transmission” means any of the following: (1) Selling or issuing payment instruments, (2) Selling or issuing stored value, (3) Receiving money for transmission. “Payment instrument” means a check, draft, money order, traveler’s check, or other instrument for the transmission or payment of money or monetary value, whether or not negotiable. The term does not include a credit card voucher, letter of credit, or any instrument that is redeemable by the issuer for goods or services provided by the issuer or its affiliate. “Receiving money for transmission” or “money received for transmission” means receiving money or monetary value in the United States for transmission within or outside the United States by electronic or other means. The term does not include sale or issuance of payment instruments and stored value. “Stored value” means monetary value representing a claim against the issuer that is stored on an electronic or digital medium and evidenced by an electronic or digital record, and that is intended and accepted for use as a means of redemption for money or monetary value or payment for goods or services. The term does not include a credit card voucher, letter of credit, or any stored value that is only redeemable by the issuer for goods or services provided by the issuer or its affiliate, except to the extent required by applicable law to be redeemable in cash for its cash value.
Some of the services we provide are:
- Assistance in obtaining a money transmitter license from DBO.
- Advice about laws and regulations that govern money transmission in California.
- Representation of acquisition of control applicants.
- Legal opinions concerning whether or not a money transmitter license is required for certain business models.
- Assistance with FinCEN‘s MSB registration and filing of required reports.
- Corporation or LLC formation and drafting of organizational and corporate documents.
- Drafting or revising of money transmission industry agreements, documents, disclosures, AML/BSA policies, OFAC policies, and other required regulatory legal documents.
- Mergers and acquisitions of money transmission businesses.
- Legal compliance and licensing for Bitcoin and virtual currency businesses.
- Assistance with legal issues concerning securities law compliance for money transmitters raising capital from investors.
- Assistance in obtaining money transmitter licenses in all 50 states of the USA.