ARIZONA HOUSE OF REPRESENTATIVES

Fifty-fourth Legislature

Second Regular Session

HB 2852: money transmitters; exemptions; authorized delegates

Sponsor: Representative Bolick, LD 20

Committee on Regulatory Affairs

Overview

Exempts a person who has a written agreement with a financial institution for money transfer services from licensure.

History

A money transmitter (Transmitter) is defined as a person who conducts business in this state, including a check casher and a foreign money exchanger, who does any of the following:

1) Sells or issues payment instruments;

2) Engages in the business of:

a) Receiving money for transmission of or transmitting money;

b) Exchanging payment instruments or money into any form of money or payment instruments; and

c) Receiving money for the purpose of paying obligor's bills, invoices or accounts; and

3) Meets the definition of a financial institution found in federal code (A.R.S. § 6-1201).

Provisions

1. Exempts a person who provides Transmitter services for a financial institution from needing a Transmitter license if:

a) The agency relationship between the person and the financial entity is established through a written agreement; and

b) The financial entity remains responsible for providing the Transmitter services to its customers. (Sec. 1)

2. Removes the requirement that a contract between an authorized delegate and a Transmitter licensee contain a current copy of the Transmitters of Money statute. (Sec. 2)

3. Makes technical and conforming changes. (Sec. 1, 2)

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7. Initials JR Regulatory Affairs

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