A bill to regulate the business of money transmission; to require the licensing of persons engaged in the business of money transmission; to prescribe the powers and duties of certain state and local officers and entities; to prescribe penalties and civil sanctions; and to repeal acts and parts of acts.
This bill aims to modernize the regulation of money transmission businesses in Michigan. It proposes a comprehensive framework for licensing, supervision, and operational standards for individuals and entities involved in money transmission. Key aspects of the bill include:
Licensing Requirement: Mandates licensing for those engaged in money transmission, enhancing regulatory oversight and consumer protection. Regulatory Coordination: Seeks to improve coordination among state and local officials, and with federal and state regulatory agencies, to streamline regulatory processes and reduce burdens. Modernization of Safety Requirements: Updates safety and operational standards to protect customer funds, including requirements for maintaining a tangible net worth and security measures. Public and Confidential Information: Establishes guidelines on what information is confidential and what can be made publicly accessible, aiming to balance transparency with privacy and security concerns. Examinations and Investigations: Grants the director authority to conduct examinations and investigations, cooperate with other regulators, and participate in multistate supervisory processes. Reporting Requirements: Licensees must submit regular reports, including financial statements and transaction data, to ensure compliance and monitor business operations. Compliance with Federal Law: Clarifies that in case of inconsistencies between state and federal laws, the applicable federal law will govern, ensuring uniformity and compliance across jurisdictions.
Co-sponsored by Reps.
Referred to the Committee on Insurance and Financial Services
