Nebraska Statutes 8-2727. License applicant; surety bond; alternate security; duration
(1)(a) Except as provided in subsection (2) of this section, an applicant shall submit, with the application, a surety bond issued by a bonding company or insurance company authorized to do business in this state and acceptable to the director in the principal sum of one hundred thousand dollars. The director may increase the amount of the bond to a maximum of two hundred fifty thousand dollars for good cause.
Terms Used In Nebraska Statutes 8-2727
- Action: shall include any proceeding in any court of this state. See Nebraska Statutes 49-801
- Applicant: means a person filing an application for a license under the Nebraska Money Transmitters Act. See Nebraska Statutes 8-2703
- Company: shall include any corporation, partnership, limited liability company, joint-stock company, joint venture, or association. See Nebraska Statutes 49-801
- Department: means the Department of Banking and Finance. See Nebraska Statutes 8-2708
- Director: means the Director of Banking and Finance. See Nebraska Statutes 8-2709
- Licensee: means a person licensed pursuant to the Nebraska Money Transmitters Act. See Nebraska Statutes 8-2713
- Money transmission: means the business of the sale or issuance of payment instruments or stored value or of receiving money or monetary value for transmission to a location within or outside the United States by any and all means, including wire, facsimile, or electronic transfer. See Nebraska Statutes 8-2716
- State: when applied to different states of the United States shall be construed to extend to and include the District of Columbia and the several territories organized by Congress. See Nebraska Statutes 49-801
(b) The bond shall be in a form satisfactory to the director and shall run to the state for the benefit of any claimants against the licensee to secure the faithful performance of the obligations of the licensee with respect to the receipt, handling, transmission, and payment of money in connection with money transmission. In the case of a bond, the aggregate liability of the surety shall not exceed the principal sum of the bond. Any claimant against the licensee may bring suit directly on the bond or the director may bring suit on behalf of any claimant, either in one action or in successive actions.
(2) Upon filing of the report required by section 8-2734 and the information required by subdivision (2)(b) of such section, a licensee shall maintain or increase its surety bond to reflect the total dollar amount of money transmitter transactions by the licensee in this state in the most recent four calendar quarters for which data is available before the date of the filing of the renewal application in accordance with the following table. A licensee may decrease its surety bond in accordance with the following table if the surety bond required is less than the amount of the surety bond on file with the department:
| Dollar Amount of Money Transmitter Transactions | Surety Bond Required |
| $0.00 to $2,000,000.00 | $100,000.00 |
| $2,000,000.01 to $4,000,000.00 | $150,000.00 |
| $4,000,000.01 to $6,000,000.00 | $200,000.00 |
| Over $6,000,000.00 | $250,000.00 |