Any entity in Iowa, who wants to send or receive money transmissions or transmitting money within the United States or to locations abroad, must obtain a money transmitter license. The name of the license is Iowa Money Transmission License (IOMTL). The regulatory body for issuing a license is a Division of Banking, State of Iowa.
What are the requirements to apply for the Iowa Money Transmitter License?
Important documents required for application are:
- Certificate of Authority/ Good standing
- Registered Agent
- Non-Law Enforcement Record Check Request – Form A” for each director and officer of a corporation
- Primary Contact employees
- Two recent audited financial statements prepared by CPA in accordance with GAAP within 90 days of your fiscal year-end. The financial statement must illustrate a company’s net worth of $100,000. If the applicant is a start-up company, only an initial statement of the condition is required.
- Unconsolidated financial statements for the current fiscal year, whether audited or not
- Business Plan
- Company Formation documents
- Document samples
- Management Chart and Organizational Chart showing ownership percentage
- Authorized Agents Locations
- Registration with FinCEN as a Money Services Business
- Surety bond
The documentation will vary from applicant to applicant.
What is the process for obtaining Iowa Money Transmitter License?
To apply for an IOMTL, the applicant has to register with the Nationwide Multistate Licensing System and Registry (NMLS). To obtain this license, the State requires an application submitted to NMLS including paying the application and licensing fees. All requirements must be met PRIOR to submission of the application. License is issued for a period of one year and has to be renewed every year on expiry in December.
How much does it cost to obtain Iowa Money Transmitter License?
Registration Fee is $500 plus $10 for every agent location. Not to exceed $5000. Application Fee is$1000 (Non-refundable). Non-Law Enforcement Record Check Request – Form A” for each director and officer of a corporation: $15. An annual fee of $0.25 for each active authorized agent/delegate location reported through NMLS is invoiced on November 1st. There is no fee for the first 100 active agents reported. Cap on UAAR Fee at $ 25,000. Renewal Fee is $500 plus $10 for every agent location. Not to exceed $5000. The net worth minimum is $100,000 plus $10,000 per authorized delegate not to exceed $500,000.
Surety Bond is a minimum $50,000 plus $ 10000 for every location to be furnished by a surety company authorized to conduct business in Iowa. If an applicant has no locations in this state, the superintendent has set the bond amount at $300,000. Legal Fees vary between $8,000-$12,000.
Empire Global has a team of experienced professionals who will assist you through the entire process of Iowa Money Transmitter License application including assistance in the preparation of documents, submission of application and responding to any queries We request you to get in touch with Empire Global at the earliest to understand the entire process in detail and apply for the Iowa Money Transmitter License.