Section 02
Commercial Surety for Money Transmitter Licensees
A money transmitter license bond is required as part of the licensing process in every U.S. state except Montana. Below is the obligee (the regulator the bond is filed with) and the required bond amount for each of the 49 states we cover, plus the additional digital-asset-specific bonds required in California, Louisiana, and New York. Select a row for full details.
A note on accuracy: bond amounts and formulas are set by state statute and regulators update them from time to time. Machaen Insurance Agency confirms the exact current requirement for your state as part of every application, we recommend treating the figures below as a starting reference rather than a final quote.
| State & Bond | Obligee | Required Bond Amount | Execution |
|---|---|---|---|
| Alabama — Money Transmitter | Alabama Securities Commission | Minimum $100,000, or the average daily outstanding obligations for money received for transmission plus 50% of the average daily outstanding payment instrument and stored value obligations, whichever is greater. | Paper bond |
| Alaska — Money Transmitter | Alaska Division of Banking and Securities | $25,000 plus $5,000 for each location, not to exceed $150,000. | NMLS e-bond |
| Arizona — Money Transmitter | Arizona Department of Financial Institutions | Tiered by number of authorized delegates and Arizona locations: $25,000 (0–5); $100,000 (6–20); $100,000 plus $5,000 per delegate/location for 21–200 (max $250,000); $250,000 plus $5,000 per delegate/location for 201+ (max $500,000). | Paper bond |
| Arkansas — Money Transmitter | Arkansas Securities Department | $50,000 plus $10,000 per business location, not to exceed $300,000. | NMLS e-bond |
| California — Money Transmitter | California Department of Financial Protection and Innovation (DFPI) | Must exceed the average daily outstanding obligations for money received for transmission; not less than $250,000 and not more than $7,000,000. | Paper bond |
| Colorado — Money Transmitter | Colorado Division of Banking | $1,000,000 flat. | NMLS e-bond |
| Connecticut — Money Transmitter | Connecticut Department of Banking | Tiered by average weekly money transmission amount: $300,000 for volume of $150,000; $500,000 for volume between $150,000–$250,000; $1,000,000 for volume of $250,000 or greater. | NMLS e-bond |
| Delaware — Money Transmitter | Delaware Office of the State Bank Commissioner | $25,000 plus $5,000 for each additional location, not to exceed $250,000. | NMLS e-bond |
| Florida — Money Transmitter | Florida Office of Financial Regulation | Amount determined by the Commission, not to exceed $250,000. | Paper bond |
| Georgia — Money Transmitter | Georgia Department of Banking and Finance | $100,000 base; additional bond coverage may be required up to a maximum of $2,000,000. | NMLS e-bond |
| Hawaii — Money Transmitter | Hawaii Commissioner of Financial Institutions | $10,000 base; the Commissioner may increase the bond up to a maximum of $500,000. | NMLS e-bond |
| Idaho — Money Transmitter | Idaho Department of Finance | $10,000, increased by $5,000 for each business location, up to a maximum of $500,000. | NMLS e-bond |
| Illinois — Money Transmitter | Illinois Department of Financial and Professional Regulation, Division of Financial Institutions | $50,000 or 1% of all Illinois-based activity, whichever is greater, up to a maximum of $2,000,000. | NMLS e-bond |
| Indiana — Money Transmitter | Indiana Department of Financial Institutions | $300,000 flat. | NMLS e-bond |
| Iowa — Money Transmitter | Iowa Division of Banking | $50,000 plus $10,000 per business location; if there is no physical Iowa location, $300,000 flat. | NMLS e-bond |
| Kansas — Money Transmitter | Kansas Office of the State Bank Commissioner | Set by the Commissioner at no less than $200,000; may be increased up to a maximum of $1,000,000 based on transaction volume or financial condition. | NMLS e-bond |
| Kentucky — Money Transmitter | Kentucky Department of Financial Institutions | At least $500,000; the Commissioner may increase the amount to a maximum of $5,000,000. | NMLS e-bond |
| Louisiana — Money Transmitter | Louisiana Office of Financial Institutions | At least $25,000 but no more than $500,000. | NMLS e-bond |
| Maine — Money Transmitter | Maine Bureau of Consumer Credit Protection | $100,000 flat. | NMLS e-bond |
| Maryland — Money Transmitter | Maryland Commissioner of Financial Regulation | $150,000 flat. | NMLS e-bond |
| Massachusetts — Money Transmitter | Massachusetts Division of Banks | $50,000 flat for the Foreign Transmittal Agency license; other money transmission activity may fall under a separate licensing category with different terms. | NMLS e-bond |
| Michigan — Money Transmitter | Michigan Department of Insurance and Financial Services | At least $500,000 but no more than $1,500,000, amount set by the Director. | NMLS e-bond |
| Minnesota — Money Transmitter | Minnesota Department of Commerce | Tiered by number of business locations: under 3 locations = $25,000; more than 3 but fewer than 7 = $50,000; more than 6 = $50,000 increased by $50,000 per location over six, up to a maximum of $250,000. | NMLS e-bond |
| Mississippi — Money Transmitter | Mississippi Department of Banking and Consumer Finance | At least $25,000 but no more than $500,000. | NMLS e-bond |
| Missouri — Money Transmitter | Missouri Division of Finance | $100,000 flat. | NMLS e-bond |
| Nebraska — Money Transmitter | Nebraska Department of Banking and Finance | Minimum $100,000; increased by $5,000 per Nebraska location in excess of one, up to a maximum of $250,000. | NMLS e-bond |
| Nevada — Money Transmitter | Nevada Financial Institutions Division | $10,000 base; increased by $5,000 for each additional business location in excess of one, up to a maximum of $250,000. | NMLS e-bond |
| New Hampshire — Money Transmitter | New Hampshire Banking Department | $100,000 flat. | NMLS e-bond |
| New Jersey — Money Transmitter | New Jersey Department of Banking and Insurance | $25,000 for a foreign money transmitter; $100,000 for a money transmitter. | Paper bond |
| New Mexico — Money Transmitter | New Mexico Financial Institutions Division | $300,000, or 1% of the money transmitter's total or projected yearly money transmission volume, up to a maximum of $2,000,000. | Paper bond |
| New York — Money Transmitter | Superintendent of the New York State Department of Financial Services | At least $500,000; the Superintendent has discretion to require a higher amount based on the size and risk of the licensee's business. | Paper bond |
| North Carolina — Money Transmitter | North Carolina Office of the Commissioner of Banks | Tiered by 12-month money transmission volume: $0–$1,000,000 = $150,000; $1,000,001–$5,000,000 = $175,000; $5,000,001–$10,000,000 = $200,000; $10,000,001–$50,000,000 = $225,000; over $50,000,000 = $250,000. | NMLS e-bond |
| North Dakota — Money Transmitter | North Dakota Department of Financial Institutions | $150,000 base; the Commissioner may increase the required amount up to a maximum of $500,000. | NMLS e-bond |
| Ohio — Money Transmitter | Ohio Division of Financial Institutions | $300,000 flat. | NMLS e-bond |
| Oklahoma — Money Transmitter | Oklahoma State Banking Department | Varies by activity: $50,000 plus $10,000 per authorized-delegate location; $500,000 for money transmission and sale-of-check activities; $200,000 for money transmission via electronic means. | Paper bond |
| Oregon — Money Transmitter | Oregon Division of Finance and Corporate Securities | $25,000 plus $5,000 for each business location, up to a maximum of $150,000. | NMLS e-bond |
| Pennsylvania — Money Transmitter | Pennsylvania Department of Banking and Securities | $1,000,000 flat. | Paper bond |
| Rhode Island — Money Transmitter | Rhode Island Department of Business Regulation, Division of Banking Regulation | $50,000, with an additional $5,000 for each additional business location. | NMLS e-bond |
| South Carolina — Money Transmitter | South Carolina Office of the Attorney General | The greater of $100,000 or 100% of the licensee's average daily money transmission liability in the state for the most recently completed calendar quarter, up to a maximum of $500,000. | NMLS e-bond |
| South Dakota — Money Transmitter | South Dakota Division of Banking | The greater of $100,000 or the licensee's average daily money transmission liability in South Dakota for the most recent 3-month period, up to a maximum of $500,000 (or $100,000 flat if tangible net worth exceeds 10% of total assets). | NMLS e-bond |
| Tennessee — Money Transmitter | Tennessee Department of Financial Institutions | $50,000 minimum, increased by $10,000 for each additional office location, up to a maximum of $800,000. | NMLS e-bond |
| Texas — Money Transmitter | Texas Department of Banking | 1% of yearly total volume of business transmissions, with a minimum of $300,000 and a maximum of $2,000,000; $500,000 if the business provides services over the internet or offers prepaid access or similar products. | NMLS e-bond |
| Utah — Money Transmitter | Utah Department of Financial Institutions | $50,000 base; the Department of Financial Institutions may increase the amount at its discretion. | NMLS e-bond |
| Vermont — Money Transmitter | Vermont Department of Financial Regulation | Minimum $100,000, increasing by $10,000 per location, not to exceed $500,000; the Commissioner may increase required security to a maximum of $2,000,000. | NMLS e-bond |
| Virginia — Money Transmitter | Virginia State Corporation Commission, Bureau of Financial Institutions | Minimum $25,000; standard amount equals the licensee's average monthly Virginia money transmission volume over the preceding two calendar quarters, rounded up to the next $10,000, not to exceed $500,000 (may be increased to a maximum of $1,000,000). | NMLS e-bond |
| Washington — Money Transmitter | Washington State Department of Financial Institutions | Minimum $10,000, not to exceed $550,000 in ordinary cases (may be increased to a maximum of $1,000,000 in special cases); calculated at $10,000 per $1,000,000 of money transmission and payment-instrument dollar volume. | NMLS e-bond |
| West Virginia — Money Transmitter | West Virginia Division of Financial Institutions | Varies by license activity, generally $100,000 to $300,000 base depending on activity type, plus per-location increments up to a maximum of $1,000,000. | NMLS e-bond |
| Wisconsin — Money Transmitter | Wisconsin Department of Financial Institutions | $10,000 for the primary business location plus $5,000 for each branch location, not to exceed $300,000. | NMLS e-bond |
| Wyoming — Money Transmitter | Wyoming Division of Banking | The greater of $10,000 or 2.5 times outstanding payment instruments booked; the Commissioner may increase the required amount to a maximum of $500,000. | NMLS e-bond |
Digital Asset & Virtual Currency Bonds
California, Louisiana, and New York each require a separate bond for digital financial asset or virtual currency business activity, in addition to their standard money transmitter bond.
| Bond | Obligee | Required Amount | Execution |
|---|---|---|---|
| California DFAL Bond | Commissioner of Financial Protection and Innovation of the State of California | No fixed statutory amount. Set by DFPI case by case based on risk profile and transaction volume; a trust account is accepted in lieu of a bond. | NMLS e-bond |
| Louisiana Virtual Currency Business Bond | Louisiana Office of Financial Institutions | Starts at $100,000, scaling in $100,000 increments with prior-year Louisiana virtual currency volume, up to $1,000,000 (OFI may require up to $7,000,000 at its discretion). | NMLS e-bond |
| New York BitLicense Bond | Superintendent of the New York State Department of Financial Services | No fixed statutory amount. Set by the NYDFS Superintendent case by case; a trust account is accepted in lieu of a bond. | Discretionary/Not a fixed bond |
What We Need to Pre-Underwrite Your Bond Request+
Before we can shop your request to a surety, we'll ask for the following. Having this ready upfront is the single biggest thing you can do to speed up a quote.
- Completed money transmitter bond application
- Company financial statements for the past 2-3 years (audited or reviewed preferred)
- Business plan or overview describing your money transmission or virtual currency activity
- Projected or historical transaction volume by state
- Corporate formation documents and an ownership/organizational chart
- Personal financial statements and resumes for principal owners and officers
- AML/BSA compliance program documentation and details of your MSB/NMLS registration
- The specific state, license type, and required bond amount you're applying for
- Disclosure of any prior regulatory actions, license denials, or litigation
- Signed indemnity agreement from the company and its owners