What is Money Service Business?
Section 2 (2) of the Act defines money service business as “… the business of providing any or all of the following services to the general public:
- money transmission services;
- cashing cheques which are made payable to customers and guaranteeing cheques;
- issuing, selling or redeeming drafts, money orders or traveller’s cheques for cash;
- payment services business;
- operating a bureau de change whereby cash in one currency is exchanged for cash in another currency.”
Institutions licensed under the Banks and
Deposit Companies Act 1999 are exempted from the Act. In addition, where a
company provides any of the services listed above as an ancillary service to
its clients and does not levy a separate charge, the Authority is not likely to
treat such an activity as being within scope of the Act. For further details,
please refer to section 7 of the Guidance Notes.