How do I get a remittance license UK?

There are two ways to get Money Transmitter authorisation by the FCA. The first way is to apply to become an Authorised Payment Institution that provides money remittance only. The second way is to register with the FCA as a Small PI that provides money remittance only.

What is a money transfer business UK?

Money Service Business (MSB) is a money transfer or currency exchange transaction in general terms. MSB, which has many forms such as individuals, global businesses, payment companies, and investment services, is a check, currency, and money order transaction.

How do I become an MSB?

The form, Registration of Money Services Business, FinCEN Form 107, must be completed and signed by the owner or controlling person and filed within 180 days after the date on which the MSB is established. Registration must be renewed every two years. Re-registration is required in limited circumstances.

Does currency exchange require a license?

If you plan to start a business as a currency exchange company, also known as a check cashing company, you will first need a currency exchange license. For any business that provides check cashing services for a fee that is not a bank, this business license is a requirement by state and federal law.

How difficult is it to start remittance business?

Remittance industry is not that difficult to enter into, once you understand the basics (which would be true for any other business as well), then you can, with relative confidence, ease into the business. It is also important to understand that money transfer is a serious business as far as the law is concerned.

How to start a money transfer business?

Decide Which Niche to Concentrate On The money transfer business is one where you help two parties transmit a certain amount of money and it is an ideal business if you are looking for a lucrative business to start up because money transactions happens daily.

Who is the legal owner of a remittance transaction?

The licensed entity in the sending country that is the legal owner of the transaction and is facilitating the remittance. The financial institution (s) that the MTO in the Sending Country uses to aggregate the funds and distribute them. Counter-party on the receiving country would either be a licensed MTO or a Bank.

When can I run a money service business after applying?

If you applied to register your business after 10 January 2020, you must not run a money service business until HMRC has confirmed that your application has been successful. The term money service business has a special meaning under the Regulations.