Connecticut is another state to join in a recent trend to amend the state's money transmitter law to remove an explicit exemption from licensure previously afforded to agents of entities exempt from license under the state's money transmitter laws. In Connecticut, under the amended law, "money transmission" means "engaging in the business of issuing or selling payment instruments or stored value, receiving money or monetary value for current or future transmission or the business of transmitting money or monetary value within the United States or to locations outside the United States by any and all means including, but not limited to, payment instrument, wire, facsimile or electronic transfer." Conn. Gen. Stat. § 36a-596(6), as amended. A person shall be deemed to be engaged in the business of money transmission in Connecticut if such person: (1) has a place of business in Connecticut, (2) receives money or monetary value in Connecticut or from a person located in Connecticut, (3) transmits money or monetary value from a location in Connecticut or to a person located in Connecticut, (4) issues stored value or payment instruments that are sold in Connecticut, or (5) sells stored value or payment instruments in Connecticut. Conn. Gen. Stat. § 36a-597(a), as amended. Kansas' amended law was effective July 1, 2013, and Connecticut's amended law was effective October 1. For more information, read our client alerts entitled Starting July 1, Kansas Money Transmitter Act Requires Licensure for Certain Agents and Effective Oct. 1, Connecticut's Money Transmission Law Requires Certain Agents Be Licensed.
- Checklist Checklist: When does a firm need to be authorised by the FCA or the PRA (UK)
- Checklist Checklist: Preparing an application to cancel a Part 4A permission at the request of a firm (UK)
- How-to guide How-to guide: How to navigate challenges relating to Source of Wealth and Source of Funds (UK)