Quarterly MSB newsletter, Issue 4 (Oct.-Dec. 2013)

Georgia Department of Banking & Finance ~ Non-Depository Financial Institutions Division
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Inside this Issue:
Semi-Annual 2 Reporting: Check Sellers and Money
Transmitters
Reminder 2 Regarding GCIC
Criminal Background
Checks
Cashing Business 3 Checks Written
Authorization Required
Upcoming Check 3 Cashing Classes
Department of 4 Banking and
Finance Adopts Final Rules
Check Casher 5 Activity for the 4th
Quarter
Check Seller / 7 Money Transmitter Activity for the 4th
Quarter
Administrative 7 Actions
2014 State 8 Holidays
Contact Information 9

Check Seller and Money Transmitter License Renewal Deadline
Thank you to those licensees who completed the online license renewal and sent in supporting documentation in a timely manner. Licensees that were approved should be able to access the Department's website to obtain their license certificate for 2014. Please note that the password is the same one used for renewal of your license.
The expiration date for all check seller and money transmitter licenses was December 31, 2013. Licensees who failed to submit a renewal application prior to the December 31st expiration must reapply to have their license reinstated. This requires the submission of a new license application form and all supporting documents and fees. The application form is the same as for new applicants and can be found on the Department's website at: http://dbf.georgia.gov/documents/application-sale-check-ormoney-transmitter-license.
Please take note of the following reminders for next year's renewals:
The surety bond needed is for the NEXT LICENSE YEAR and it should cover the calendar year. If necessary, please contact your insurance agent and change your bond to cover the calendar year.
Remember that a continuation certificate must indicate the expiration of the bond. Although the bond is perpetual, it only covers the timeframe that you have actually paid for it to cover.
If you have questions, please contact Teresa Koeppel at (770) 986-1639 or via e-mail at msb@dbf.state.ga.us. Please be sure to include your license number on any communication with the Department. This will allow us to assist you more quickly and efficiently.
DID YOU FORGET YOUR PASSWORD?
The Department has a password retrieval site for MSB licensees and registrants who have forgotten their login information: https://bkgfin.dbf.state.ga.us/MSBForgotPassword.html
Once a license or registration number is entered and verified through the site, the password is sent to the primary e-mail address on file for the license or registration. If the primary contact information for a license or registration has changed, please contact msb@dbf.state.ga.us.

"Safeguarding Georgia's Financial Services"

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4th Quarter 2013

Semi-Annual Reporting: Check Sellers and Money Transmitters
By now, all Check Seller and Money Transmitter licensees should have received the Department's e-mail regarding Semi-Annual Reporting. These reports must be made by the licensee through the Department's online reporting system. The report that is due covers the period of July 1, 2013 through December 31, 2013.
Passwords for accessing the online reporting system are e-mailed to the licensee's primary contact listed in the Department's records. Please make certain that the e-mail the Department has on file for your company is correct.
The online system for Check Seller Semi-Annual Reporting is found at: https://bkgfin.dbf.state.ga.us/CSSemiAnnualReport.html
The online system for Money Transmitter Semi-Annual Reporting is found at: https://bkgfin.dbf.state.ga.us/MTSemiAnnualReport.html

Licensees should ensure that their average outstanding checks and outstanding transactions are calculated correctly. During 2014, licensees may be contacted to provide proof of the outstandings shown on the SemiAnnual Reports.
Licensees must complete the Semi-Annual Reporting by March 1, 2014. Any licensee not filing a report by that date may be subject to a fine, administrative action, or both.
IMPORTANT NOTE: If you experience any problems with the online system, please contact Teresa Koeppel at (770) 986-1639 or via e-mail at msb@dbf.state.ga.us. Please be aware that our overnight processing normally occurs between 5 - 7 PM EST. You will NOT be able to access the website while these update processes run.

Reminder Regarding GCIC Criminal Background Checks
The Department does not accept third party criminal background checks. Normally, third party checks do not cover the person's whole lifetime, as is required by our laws governing Money Service Businesses (MSBs). Often, these reports gather information from a variety of sources and not from the Georgia Crime Information Center (GCIC).
Please obtain your background checks from local law enforcement agencies providing this service before you hire new employees involved in the check cashing, check selling or money transmission function (i.e., anyone who can sign on the bank account or handle your funds). Keep the reports on file and, as a best practice, obtain new reports every two years.

4th Quarter 2013

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Cashing Business Checks Written Authorization Required
Do you cash corporate checks or checks made out to businesses? Department Rule 80-3-1-.02(5)(f) mandates that "A check casher shall not cash a check payable to persons other than natural persons unless the payee has on file such a written authorization or verification indicating that the payee has authorized the presentation of such checks on behalf of the payee." Department Rule 80-3-1-.02 (5)(f) further provides that "[a]n original written authorization or other evidence of verification shall be maintained, attesting to the fact that said corporation has authorized its officers and employees or specific officers or employees to present checks, drawn by the corporation payable to cash or drawn by any party payable to the corporation, to a licensee or registrant for cashing."
What if a check casher cashed a corporate or business check without proper authorization? Without adequate documentation to show that a person cashing a corporate or business check is authorized to do so, the check casher subjects itself to the risk that it will be responsible for the amount of a check cashed by an unauthorized party. Proper documentation must be maintained that indicates such authorization and should be made available upon request by a Department examiner to avoid citation of a violation.
What type of documentation should a check casher obtain? The check casher must obtain a written authorization from the corporation for specific officers or employees to cash checks. Before accepting a written authorization, a check casher must first verify ownership of the corporation. A check casher should request corporate formation documents or other evidence of ownership. Ownership information can sometimes be independently verified through the Secretary of State's Office. A best practice is to obtain a written authorization signed and notarized by the owner(s). Note, obtaining employer identification numbers (EIN) and business licenses are not sufficient to comply with the above Department Rule.

Upcoming Check Cashing Classes

During 2014, the Department will continue to hold a class at its main office every other month that is open to all check cashers. The class benefits first-time check cashers and veteran check cashers. Classes are scheduled on Tuesdays at 10:00 a.m. and generally last about an hour and a half.

Upcoming 2014 Check Casher Class Dates and Times*
January 21st, 10:00 AM March 18th, 10:00 AM May 20th, 10:00 AM July 15th, 10:00 AM September 16th, 10:00 AM November 18th, 10:00 AM

(Continued on page 4)

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4th Quarter 2013

Upcoming Check Cashing Classes
(Continued from page 3)
There is no cost for the class and it is a great way to learn about Georgia law, Department regulations, the Bank Secrecy Act (BSA) and Anti-Money Laundering requirements. During examinations, those who have attended the class have stated that the knowledge and information they gained helped prevent violations and avoid the imposition of fines. As a further benefit, the Department provides a certificate of attendance that licensees may use as evidence of training received on BSA and Anti-Money Laundering.
The classes are limited to a maximum of seven attendees, so you must make an advance reservation for a seat by calling 770-986-1639 or emailing tkoeppel@dbf.state.ga.us at least five days before the class is held. Reserve your seat NOW! We look forward to seeing you.
* Please note that the class schedule is subject to change.

Department of Banking and Finance Adopts Final Rules
On November 7, 2013, the Department adopted Final Rules as part of its annual housekeeping rulemaking. The Rules were filed with the Secretary of State on November 7, 2013, and, pursuant to O.C.G.A. 50-13-6, became effective on November 27, 2013.
Prior to adopting the Rules, the proposed Rules along with a synopsis were distributed on October 4, 2013. The Department received six (6) written comments regarding the proposed Rules. The Department fully considered the comments it received but ultimately determined not to make any revisions. The Department believes that the Rules as adopted encourage safety and soundness, encourage safe and fair mortgage lending, and conform to the law.
To view or download the Final Rules, go to the Regulations page on the Department's website (http://dbf.georgia.gov/dbf-regulations) and select the appropriate link for the Final Rules, OR you may access them directly from: http://dbf.georgia.gov/sites/dbf.georgia.gov/files/related_files/document/DBFFinalRules11-7-2013.pdf

4th Quarter 2013
LICENSED AND REGISTERED CHECK CASHERS APPROVED OR REINSTATED DURING THE 4TH QUARTER OF 2013

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4th Quarter 2013
LICENSED AND REGISTERED CHECK CASHERS APPROVED OR REINSTATED DURING THE 4TH QUARTER OF 2013

LICENSED AND REGISTERED CHECK CASHERS REVOKED OR CLOSED DURING THE 4TH QUARTER OF 2013
LICENSED AND REGISTERED CHECK CASHERS EXPIRED DURING THE 4TH QUARTER OF 2013
A total of 176 licenses/registrants did not renew their license for 2014 and were expired as of 10/1/2013. Due to the large number of expirations, a separate document is provided on the Department's website at: http://dbf.georgia.gov/documents/check-cashers-expired-did-not-renew-fy2014

4th Quarter 2013
LICENSED CHECK SELLERS AND MONEY TRANSMITTERS APPROVED OR REINSTATED DURING THE 4TH QUARTER OF 2013

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LICENSED CHECK SELLERS AND MONEY TRANSMITTERS CLOSED DURING THE 4TH QUARTER OF 2013

ADMINISTRATIVE ACTIONS
License/Registration Denials
Audrea Latice Denley, d/b/a D&T Food Mart, Atlanta, GA - Check casher registration application was denied on 12/4/2013.

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4th Quarter 2013

2014 State Holidays

In accordance with O.C.G.A. 1-4-1, Governor Nathan Deal proclaimed the following dates in 2014 as public and legal state holidays when the Capitol and all State agencies will be closed:

Holiday Name New Year's Day 2014 Robert E. Lee's Birthday
Martin Luther King Jr.'s Birthday Washington's Birthday
Confederate Memorial Day
Memorial Day Independence Day Labor Day Columbus Day Veterans' Day Thanksgiving Day
Christmas Day

Date Observed Wednesday, January 1st Sunday, January 19th Will be observed on Friday, November 28th
Monday, January 20th
Monday, February 17th Will be observed on Friday, December 26th
Saturday, April 26th Will be observed on Monday, April 28th
Monday, May 26th
Friday, July 4th
Monday, September 1st
Monday, October 13th
Tuesday, November 11th
Thursday, November 27th Lee's Birthday will be observed on Friday, November 28th
Thursday, December 25th Washington's Birthday will be observed on Friday, December 26th

4th Quarter 2013
Department Contact Information
NAME Teresa Koeppel, Administrative Examiner (Check Sellers/Money Transmitters, MSB Exams)
Susan Nelson, Applications Analyst (Check Cashers)

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E-MAIL ADDRESS tkoeppel@dbf.state.ga.us

PHONE# (770) 986-1639

nelson@dbf.state.ga.us

(770) 986-1652

Corresponding with the Department
When corresponding with the Department, e-mail communication is preferred. Providing written details in the email regarding any questions or concerns you may have allows the Department to forward the request to the appropriate person who handles that area, and if sufficient details are included in the request, that person can then more efficiently provide you with an answer. The main Division e-mail address is msb@dbf.state.ga.us.
Since the Department's main method of communicating with licensees/registrants is via e-mail, it is very important that you supply the Department with a valid e-mail address and that you keep us informed if your email address changes. Please be sure that your e-mail account does not divert Department e-mail to your spam or junk folder.

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Georgia Department of Banking and Finance
2990 Brandywine Road Suite 200
Atlanta, Georgia 30341-5565
Phone: (770) 986-1633 Fax: (770) 986-1655 or 1029 Email: msb@dbf.state.ga.us
We're on the Web! dbf.georgia.gov

4th Quarter 2013
The Department is the state agency that regulates and examines banks, credit unions, and trust companies chartered by the State. The Department also has regulatory and/or licensing authority over mortgage brokers/processors, lenders and loan originators, money service businesses, internaonal banking organizaons, and bank holding companies
conducng business in Georgia.
Our MISSION is to promote safe, sound, compeve financial services in Georgia through innovave, responsive regulaon and supervision.
Our VISION is to be the best financial services industry regulator in the country Progressive. Proacve. Service-Oriented.

Sign-up to Receive this Publication
This quarterly publication is delivered to interested parties via e-mail and is also available from the Department's website at: http://dbf.georgia.gov under Publications, MSB Newsletter. If you would like to be added to our distribution list, send an email to dbfpress@dbf.state.ga.us stating your name and e-mail address. Please be sure to include "Subscribe to MSB Newsletter" in the Subject line.