Commercial Surety · Money Transmitter Licensees

Texas Money Transmitter Bond

Issued for money services businesses licensed in Texas, backed by A-rated, Treasury-listed sureties.

Overview

Money services businesses seeking a money transmitter license in Texas are required to post a surety bond as part of the state's licensing process. The bond guarantees the licensee's compliance with Texas'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 Texas
  • Remittance companies and digital wallet providers seeking Texas licensure
  • Multi-state MSBs adding this state to their license footprint

Obligee & Required Bond Amount

Obligee: Texas Department of Banking

Required amount: 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.

How This Bond Is Executed

Filing method: NMLS e-bond

Notarization: N/A

Texas 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

1

Apply

Complete a short application with your business and coverage details.

2

Get Quoted

We shop the market among A-rated carriers for the most competitive terms.

3

Get Covered

Sign your agreement and receive your bond or policy, often within a few business days.

4

Stay Compliant

We track renewal dates so your coverage stays active without a lapse.

Frequently Asked Questions

How much is the Texas money transmitter bond?+

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. 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 Texas Department of Banking, which is the agency that licenses and regulates money transmitters in Texas.

Is this an NMLS e-bond or a paper bond in this state?+

Texas 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 Texas requires its own bond naming the Texas Department of Banking as obligee, separate from any other state bonds you hold.

How fast can Machaen Insurance Agency issue a Texas 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 Texas

Speak with our surety team about your Texas money transmitter bond.

201-316-4159

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