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§ 12-418. Restrictions relating to permissible investments

West's Annotated Code of MarylandFinancial InstitutionsEffective: October 1, 2021

West's Annotated Code of Maryland
Financial Institutions
Title 12. Miscellaneous Institutions and Activities
Subtitle 4. Maryland Money Transmission Act
Effective: October 1, 2021
MD Code, Financial Institutions, § 12-418
§ 12-418. Restrictions relating to permissible investments
Currentness
In general
(a)(1) Subject to paragraph (2) of this subsection, a licensee shall have at all times permissible investments having an aggregate market value, calculated in accordance with generally accepted accounting principles, of not less than the aggregate face amount of all outstanding money transmissions conducted by the licensee in the United States.
(2) The requirement imposed under paragraph (1) of this subsection may be waived by the Commissioner if the dollar volume of a licensee's outstanding money transmissions does not exceed the surety device filed in accordance with § 12-412 of this subtitle.
Proceeds from money transmissions and prepaid access
(b)(1) Except as provided in paragraph (2) of this subsection, a licensee shall require each authorized delegate, within 48 hours after the next regular business day after the authorized delegate receives the proceeds from a money transmission, to remit the proceeds to the licensee or the licensee's authorized representative, or deposit the proceeds in the licensee's account with a financial institution.
(2) A licensee shall require each authorized delegate who sells prepaid access, within 5 business days after the next regular business day after the authorized delegate receives the proceeds from the sale of prepaid access, to:
(i) Remit the proceeds to the licensee or the licensee's authorized representative; or
(ii) Deposit the proceeds in the licensee's account with a financial institution.
Deposits in advance of money transmissions
(c) Deposit by the authorized delegate in an account with a financial institution of funds in advance of money transmissions, but in an amount not less than the amount that the authorized delegate would normally receive from money transmissions, constitutes compliance with this section.

Credits

Added as Financial Institutions § 12-414 by Acts 1980, c. 541, § 1, eff. July 1, 1980. Amended by Acts 1995, c. 432, § 1, eff. Oct. 1, 1995; Acts 1997, c. 23, § 1, eff. Oct. 1, 1997. Renumbered as Financial Institutions § 12-418 by Acts 2002, c. 539, § 1, eff. Oct. 1, 2002. Amended by Acts 2002, c. 539, § 1, eff. Oct. 1, 2002; Acts 2004, c. 25, § 1, eff. April 13, 2004; Acts 2021, c. 100, § 3, eff. Oct. 1, 2021.
Formerly Art. 11, § 214.
MD Code, Financial Institutions, § 12-418, MD FIN INST § 12-418
Current through legislation effective through April 9, 2023, from the 2024 Regular Session of the General Assembly. Some statute sections may be more current, see credits for details.
End of Document