Michigan Money Transmitter Bond
Issued for money services businesses licensed in Michigan, backed by A-rated, Treasury-listed sureties.
Overview
Money services businesses seeking a money transmitter license in Michigan are required to post a surety bond as part of the state's licensing process. The bond guarantees the licensee's compliance with Michigan's money transmission statute and protects consumers who use the licensee's services from loss due to insolvency, fraud, or a failure to remit funds as required by law.
Who Needs This Bond
- Licensed money transmitters and payment processors operating in Michigan
- Remittance companies and digital wallet providers seeking Michigan licensure
- Multi-state MSBs adding this state to their license footprint
Obligee & Required Bond Amount
Obligee: Michigan Department of Insurance and Financial Services
Required amount: At least $500,000 but no more than $1,500,000, amount set by the Director.
How This Bond Is Executed
Filing method: NMLS e-bond
Notarization: N/A
Michigan accepts the money transmitter bond as an NMLS Electronic Surety Bond (ESB). Machaen Insurance Agency files it electronically through the Nationwide Multistate Licensing System, so there's no paper original to sign, notarize, or mail.
How to Get Bonded
Apply
Complete a short application with your business and coverage details.
Get Quoted
We shop the market among A-rated carriers for the most competitive terms.
Get Covered
Sign your agreement and receive your bond or policy, often within a few business days.
Stay Compliant
We track renewal dates so your coverage stays active without a lapse.
Frequently Asked Questions
How much is the Michigan money transmitter bond?+
At least $500,000 but no more than $1,500,000, amount set by the Director. This is confirmed against the current statute at the time of your application, since regulators update these figures from time to time.
Who is the obligee on this bond?+
The Michigan Department of Insurance and Financial Services, which is the agency that licenses and regulates money transmitters in Michigan.
Is this an NMLS e-bond or a paper bond in this state?+
Michigan accepts the money transmitter bond as an NMLS Electronic Surety Bond (ESB). Machaen Insurance Agency files it electronically through the Nationwide Multistate Licensing System, so there's no paper original to sign, notarize, or mail.
Do I need a separate bond for every state I'm licensed in?+
Yes. Money transmitter bonds are state-specific, so a license in Michigan requires its own bond naming the Michigan Department of Insurance and Financial Services as obligee, separate from any other state bonds you hold.
How fast can Machaen Insurance Agency issue a Michigan money transmitter bond?+
Once your financials and license application details are in hand, we can typically issue an NMLS e-bond within a day or two; a paper bond takes a bit longer to account for signing, notarizing where required, and mailing the original.
Get a Quote for Michigan
Speak with our surety team about your Michigan money transmitter bond.
201-316-4159
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