N.Y. Comp. Codes R. & Regs. tit. 3 § 406.3
Current through Register Vol. 46, No. 50, December 11, 2024
Section 406.3 - Conduct of business(a) Every licensee engaged in money transmission, except one engaged exclusively in the sale or issuance of travelers checks and/or money orders, shall post and at all times display in full public view, at both its principal office and at each branch office in this State, where the general public is admitted and money transmission is carried out, a sign or signs in the English language and in any other predominant language spoken by the customers of the licensee each of which sign shall be no less than 20 inches wide and 12 inches high with letters at least one-half inch in height indicating the following: (1) the name and principal address of the licensee, the type of transmission activity the licensee is authorized to engage in, and a telephone number established by the licensee to answer questions and register complaints; and(2) that the licensee is licensed and regulated by the New York State Banking Department and that unresolved consumer complaints may be mailed to the New York State Banking Department, Consumer Services Division, as set forth in section 1.1 of Supervisory Policy G 1 of this Title.(b) Every licensee engaged in money transmission in this State, except one engaged exclusively in the sale or issuance of travelers checks and/or money orders, shall affix a notice on the front window or entrance door of its principal office and at each branch office in this State, where the general public is admitted and money transmission activities are carried out indicating the following information: (1) the name of the licensee; and(2) the statement that the licensee is "Licensed as a Money Transmitter by the Banking Department of the State of New York." Each such notice shall be no less than four inches by six inches.(c) No licensee shall sell or issue any travelers check, money order, check, draft, or other instrument or order for the transmission or payment of money in or from this State unless the name of the licensee as maker, drawer, acceptor or otherwise as obligor shall clearly appear on the face of the instrument.(d) No licensee shall engage in money transmission directly or through the use of agents in New York without having filed within 10 days of adoption the form of payment instrument with the superintendent. All internationally payable instruments or receipts therefore shall clearly show on the face thereof the name of the licensee as the person liable thereon.(e) Every licensee which has appointed or designated agents in this State shall require each agent under its written agency contract to conduct the authorized money transmission activities through the licensee.(f) A receipt, or other evidence of acceptance of funds shall be given to every person who utilizes a licensee to transfer funds. The receipt issued by the licensee shall contain the information required in subdivisions (a)(1) and (c) of this section and the following additional information: (1) a statement of the liability of the licensee for nondelivery or delayed delivery;(2) a statement of the refund policy of the licensee;(3) the dollar amount of transmission; and(g) Licensees are subject to supervision and regulation by the New York State Banking Department and must exercise reasonable supervision over agents and subagents to insure compliance with applicable laws, rules and regulations with regard to money transmission.N.Y. Comp. Codes R. & Regs. Tit. 3 § 406.3