South Carolina Announces Creation of Money Transmitter & Currency Exchange Licenses
The South Carolina Attorney General's Office announced Monday, May 14th via press release the creation of the Money Transmitter and Currency Exchange License. Also announced Monday was the creation of the Money Services Division, which is responsible for issuing the new licenses and regulating money transmission activities throughout South Carolina. Applications for the new licenses must be made through the Nationwide Multistate Licensing System (NMLS).
The new regulations are the results of the South Carolina Anti-Money Laundering Act. Although the Division began accepting applications on May 14th, the Act will not become law until publication in the State Registrar on May 25th of this year.
The Division will issue two license types: Money Transmitter License and a Currency Exchange License. The license types authorize the following activities: electronic money transmitting; issuing and/or selling traveler's checks; issuing and/or selling money orders; bill paying; issuing and/or selling drafts; issuing and/or selling prepaid access/stored value; foreign currency dealing or exchanging; and "other" money services. The licenses require a qualifier, background checks and supporting documentation; there is an application fee of $1,500 and a license fee of $750.