MSB License Regulation in Kansas

Regulator of MSB license in Kansas

Kansas Office of the State Bank Commissioner

Documents required for application:

To register as a money transmitter in Kansas, applicants must provide:

• Identifying information and contact details of the designated person handling the application.
• Detailed documentation outlining the organizational structure, including the state of incorporation, corporate location, and Articles of Incorporation.
• Filing with the Kansas Secretary of State to authorize the corporation to conduct business in the state.
• Identification of the type of money transmission being pursued.
• A comprehensive business plan detailing activities, operations, proposed locations in Kansas, and projected growth over the first two years of operation.
• A list of directors, senior officers, and shareholders with more than 10% equity, along with their biographies.
• Disclosure of any bond refusals, indictments, or convictions involving the applicant or key personnel.
• Names and business addresses of proposed selling agents operating in Kansas.
• Details of current licensing in other states, including dates, activities, and trade names.
• History of license suspensions, revocations, and denials, as well as enforcement actions.
• Procedures for screening money transmitter names against Office of Foreign Assets Control lists.
• If registered as a Money Services Business (MSB) with the US Treasury, provide acknowledgment letter from IRS-Detroit Computing Center and copy of FinCEN Form 107.
• Audited financial statements prepared by an independent CPA for the two most recent fiscal or calendar years, including balance sheets, income statements, and stockholder’s equity statements.
• The most recent unaudited interim financial statements dated no more than 90 days from the application date.

Cost Involved

• A net worth of at least $250,000.
• Surety bond of $200,000 – $500,000
• A remittance fee of $100 plus $10 per agent, along with any additional expenses for on-site examinations or investigations.

Process of application

• Money transmitter businesses in Kansas must submit licensing requests to the Office of the State Bank Commissioner.
• The application mandates detailed information about the business and its owner, potentially involving an examination by the commissioner.
• Submit the license fee and surety bond
• Submit all the above mentioned documents