MSB License Regulation in South Dakota

Regulator of MSB license in South Dakota

South Dakota Division of Banking

New license: Nationwide Mortgage Licensing System

Documents required for application:

• Certificate of good standing from the state of incorporation
• History of criminal convictions or material litigation
• Description of activities conducted by the applicant
• Description of business activities in South Dakota
• AML/BSA compliance policies and procedures
• List of proposed authorized delegates in South Dakota
• Sample authorized delegate contracts
• Sample payment instrument forms
• List of proposed locations for licensed activities
• List of clearing banks for payment instruments

Cost Involved

• Application fee: $500
• Filing fee: $25
• License fee: $1,000
• Minimum net worth: $100,000
• General Bonding Requirements:
• Determined at the Commissioner’s discretion
• Ranges from $100,000 to $500,000

Process of application

• Register with FinCEN: Ensure your money services business is registered with the Financial Crimes Enforcement Network.
• Review Requirements: Visit the South Dakota Division of Banking and NMLS websites to understand the eligibility criteria.
• Create NMLS Account: Sign up on the Nationwide Multistate Licensing System.
• Prepare Documents: Gather all required documents such as financial statements and compliance policies.
• Submit Application: Upload documents and complete the application process on the NMLS website.
• Pay Fees: Pay the application fee, filing fee, and license fee.
• Wait for Approval: Expect a waiting period of approximately 3 months for your license application to be approved.