MONEY SERVICES BUSINESS

Money Services Business

Money Services Businesses (MSBs) are non-bank financial institutions that transmit or convert money, allowing for the transfer of funds between persons in different locales. The MSBs Sector in the Commonwealth of Dominica is regulated by the Financial Services Unit. (FSU). MSBs must also comply with the provisions of the Money Services Business Act [MSB Act], and other related legislations.

MSBs serve an important public service, which prescribes why compliance requirements must be adhered to and followed. Failing to observe compliance obligations of the business imposed by the above-mentioned statutes can subject the business, its owners, and its employees to unnecessary fines and as such compliance is of paramount importance.

Money Services Businesses serve to close the gaps that traditional banking left open, creating an avenue for more timely disbursement of funds. In Dominica two money Services Businesses operate, namely MoneyGram and Western Union. Agencies for these businesses are at various business locations on the island.

The legislation governing the Money Service Business activities in Dominica is the Money Services Business Chapter 78:82 of the Revised Laws of the Commonwealth of Dominica, 2017.

SERVICES YOU CAN OFFER UNDER MONEY SERVICES
BUSINESS LICENSE

No person shall carry on money services business in the Commonwealth of Dominica first obtaining a license under Section 5 of the Money Services Business Act No. 8 of 2010, consolidated as Chapter 78:82 of the Revised Laws of Dominica, 2017. .

Pursuant to Section 2 of the Act, “Money Services Business” means the business of providing any or all of the following services-

Transmission of money or monetary value in any form;
Cheque cashing;
Currency exchange;
The issuance, sale or redemption of money orders or traveller’s cheques;
Any other services the Minister may specify by notice published in the Gazette; orthe business of operating as franchise holder of any of the businesses mentioned above.

Generally, the above provides the services that can be offered under a Money Services Business License, however they are categorized in different classes; not all classes provide the same service.

A Money Services Business licence in Dominica authorizes your company as the holder of that license for the time period specified in the license, to carry on money services business as follows and not otherwise –

Class A” licence permits the holder to carry on any or all of the following businesses –

Class B” licence permits the holder to carry on any or all of the following businesses –

Class C” licence permits the holder to carry on the business of cheque cashing

Class D” licence permits the holder to carry on the business of currency exchange

Class E” licence permits the holder to carry on the business of pay day advances.

If you are interested in obtaining a Money Services Business Licence you shall retain and let us, WhinChester Corporate & Immigration Services PowerHouse, make and file the necessary application to the Minister responsible for the grant of the license and submit the prescribed documents and information on your behalf. You must apply for a License to conduct money services in Dominica. WhinChester is here to help you get that license.

CONSIDERATION FOR GRANT OF LICENSE

In considering an application for a licence, the Minister shall request the Authority to conduct investigations, at your expense, that it considers necessary to ascertain –

the validity of the documents submitted in accordance with the requirements;
the financial condition and history of the applicant;
the nature of the business of the applicant;
the experience of the persons who are to constitute its management;
the source of initial capital;
whether the applicant is a fit and proper person to be licensed;
whether the applicant can fulfil the obligations of a licencee under the legislation;
the convenience and needs of the community to be served by the granting of the licence.

A license holder shall pay the specified annual licence fee according to the classification of his licence.

TERM OF LICENSE

The licence to carry on money services business is valid from the date of first issue to 31st December of that year and is renewable each year on payment on or before the 15^th day of January of the prescribed annual licence fee.

A licence authorises the licensee to carry on Money Services Business in Dominica at the place of business designated in the license and at such other place as the Minister mayauthorise in writing.

For your Money Services Business License, consult with our WhinChester Money Services Business Advisors. We can get you your Money Services Business License within quick time. Then Send us your Orders, Enquiries and Questions.