Why FinCEN Registration is NOT a License?

FinCEN registration is not a license! Okay, so then what is it? Watch this short video to learn.

Transcript:

Hello my name is Faisal Khan. I am a banking and a payment consultant. I have received many phone calls over the day I get emails etc and people trying to understand how to maneuver this complex landscape known as you know the U.S. money transmission laws and money services business licensing etc etc.

One thing I see again and again is people think that if they just go to FinCEN and register or that the FINCEN registration is granting them a license. No.

FinCEN registration is not a license. There is no federal money transmitter or licensing authority to grant you a license. FinCEN is a department under the Department of Treasury. It is meant for reporting purposes. If you are going to be someone, that at some point in time, is going to be a money services business then FinCEN registration – you would use the word “registration” – is then necessary. It is used for reporting. It is NOT a grant of a license.

I hope I was able to clear that. If you have any questions or comments, there is a form in the description below. Write to me. I’ll be happy to answer. Till next time, have a good one.

This page was last updated on September 1, 2022.

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