HB215 Summary

• Repeals Chapter 7 of Title 8 (check sale regulation) and creates the Alabama Monetary Transmission Act (Chapter 7A) to regulate money transmission services through the Alabama Securities Commission.

• Requires any person engaging in money transmission to obtain a license from the Commission, with minimum filing and license fees of $500 each, and maintain a surety bond of at least $100,000 or higher based on outstanding obligations.

• Establishes licensing requirements including background checks, financial statements, business plans, and lists of authorized delegates; licenses expire March 31 annually with a $500 minimum renewal fee.

• Creates enforcement powers including examinations, record maintenance requirements, cease-and-desist orders, civil penalties up to $1,000 per day, and criminal penalties up to Class C felony for unlicensed transmission of more than $5,000 annually.

• Provides exemptions for banks, securities brokers, clearing agencies, federal entities, and certain government payment processors, and allows existing licensees under repealed Chapter 7 to retain licenses until next renewal date.