Alabama money transmitter bonds.
From $1,000.
Alabama licenses money transmitters through the Alabama Securities Commission under the Monetary Transmission Act, and a licensee maintains a surety bond of at least $100,000, or more keyed to your Alabama transmission obligations, under Ala. Code § 8-7A-7. The premium is 1% of the bond amount.
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How much does an Alabama money transmitter bond cost?
1% of the bond amount, from $1,000 at the $100,000 minimum. Enter your amount in the calculator for the exact price.
Three steps. One sitting.
No underwriting queue for the Alabama money transmitter bond — enter your amount, pay, and file with the Securities Commission. Here is the whole thing:
Apply online
Business details, the bond amount your license requires, an effective date, and a term. One soft credit pull, never a hard inquiry, and it never affects your score.
Pay & e-sign
The premium is 1% of the bond amount — priced at checkout, so the bond issues the moment you pay. Your executed bond and power of attorney generate on the spot.
File with the Securities Commission
Your executed bond arrives by email, ready to submit with your money transmitter license filing. Wet-ink original mailed on request.
What it is and who needs it.
What the bond actually guarantees
Alabama's Monetary Transmission Act requires a license from the Alabama Securities Commission to engage in money transmission in the state. Under Ala. Code § 8-7A-7, a licensee maintains a surety bond or similar security of at least $100,000 — or the average daily Alabama transmission obligations plus 50 percent of average daily outstanding payment-instrument and stored-value obligations, whichever is greater.
It's a three-party arrangement: you (the principal), the surety carrier, and the state (the obligee). The bond secures the faithful performance of your money transmission obligations — the funds your Alabama customers hand you to move. The Commission can raise the required security, up to $5 million, if a licensee's financial condition warrants it.
It is not insurance for you — if the surety pays a claim, you repay the surety. The security must stay in place while you are licensed, and the statute requires bond coverage for claims for five years after a licensee stops transmitting in Alabama; we track the term and send renewal notices 60 and 30 days out.
You need this bond if you're
Claims, renewal, filing, and what sets the price.
If a claim is made
A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.
The surety investigates and pays a valid claim, up to the bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
Renewal and term
The premium covers a one-year term from the effective date you choose.
Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.
How to file it
File with the Securities Commission. Your executed bond arrives by email, ready to submit with your money transmitter license filing. Wet-ink original mailed on request.
What sets the price
The premium is 1% of the bond amount, $100 minimum: the amount the obligee sets moves the price, not your business profile.
One soft credit pull, never a hard inquiry, and it never affects your score.
Where a check runs, it decides approval; the rate is the same for everyone approved.
One application, issued instantly.
Submit the application with the bond amount your license requires — the executed bond is generated the moment you pay, ready to file.
Start the application →Common questions.
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The same bond in nearby states.
Price and requirements checked on the carrier’s application, . Page updated .
Money transmitter bond, issued today.
1% of the bond amount, issued the moment you pay. Free until issued.