HB 1428 Summary

• Replaces Mississippi's existing money transmitter law (Section 75-15-1 et seq.) with the "Money Transmission Modernization Act" effective July 1, 2025

• Requires money transmission licensees to maintain minimum tangible net worth, surety bonds (up to $500,000), and permissible investments equal to outstanding money transmission obligations; initial application fee of $1,500 with annual renewal fees of $800 plus $100 per additional location

• Establishes licensing requirements including criminal background checks, financial statements, and information on key individuals and persons in control; applications must be approved or denied within 120 days or automatically approved

• Authorizes the commissioner to participate in multistate licensing coordination through NMLS, conduct examinations, and enforce compliance through cease and desist orders, civil penalties up to $1,000 per day, and license suspension or revocation

• Creates exemptions for federally insured depository institutions, government agencies, payment system operators, securities brokers, and certain third-party service providers; establishes criminal penalties (felony or misdemeanor) for unlicensed money transmission and false statements