Who Needs a Money Transmitter License in NY

Money Transmitter License in NY

Businesses and companies who need a money transmitter license in NY or New York are fully described on the Department of Financial Services website.

A money transmitter is a business that issues and sells traveler’s checks and money orders, and transmits money on behalf of the public by any means including transmissions within this country or abroad by wire, check, draft, facsimile or courier. Generally, a money transmitter markets its services through a network of agents.
Money transmitters are regulated and licensed under Article XIII-B of the Banking Law.

New York State Department of Financial Services

Can my Business Make Do Without a License?

No, it cannot. It is illegal to operate a money transmitter service without a license for the state of New York. You may be liable to huge fines if you try. This answer provides more information: As a new fintech startup, how do I get over the money transmitter license hurdle with a limited budget?

Is it Easy to Get a NY Money Transmitter License?

It is not easy, but it is not impossible either. The New York license is considered one of the most difficult licenses to get in all the states. However, by following the guidelines and having patience, you will get there.

Can I Rent a License?

It is not a good idea to rent or lease a money transmitter license.

How Do I Apply for a Money Transmitter License in NY?

In July 2017, the NY DFS started using the NMLS for its licensing like many other states had already been doing. This page provides resources for how to access and proceed to getting your money transmitter license in NY.

The NY DFS has provided a simple checklist(PDF) that helps keep you on track as you gather all the necessary information and documents.