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#2267063 - 03/01/22 08:51 PM SAR or Not - Check Casher - State Req
praBSA Offline
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Customer ABC is a check casher in New York charging a $1 fee per check and never cashing more than 1k/pp/pd. They don't need to register with FinCEN but they need to register with New York State as a check casher. The customer told us that they were unaware of the rule and have been fully cooperative and I believe them. They told us they will either just not charge a fee anymore or go down to $0.50 for example as their appears an exception for "occasionally" cashing checks under $1.

Thoughts on SAR Filing as an unlicensed MSB/Check Casher under state rules?

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#2267065 - 03/01/22 09:07 PM Re: SAR or Not - Check Casher - State Req praBSA
Curious in Kansas Offline
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When in doubt, file.

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#2267068 - 03/01/22 09:57 PM Re: SAR or Not - Check Casher - State Req praBSA
edAudit Offline
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edAudit
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Aware or unaware makes no difference,

I am not sure what the .50 is all about:

https://www.dfs.ny.gov/system/files/documents/2022/02/re_bank_amend_3nycrr400_11_text.pdf
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#2267072 - 03/02/22 12:47 PM Re: SAR or Not - Check Casher - State Req praBSA
praBSA Offline
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edAudit, that appears to be the recent changes in what licensee's can actually charge for fees for which I am aware

What I was referring to was: "Check cashers cash checks, drafts, or money orders for a fee. Licenses are not required for businesses that do this occasionally for a fee of less than $1." (https://www1.nyc.gov/nycbusiness/description/check-casher-license#:~:text=Businesses%20that%20cash%20checks%20in,fee%20of%20less%20than%20%241.)

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#2267079 - 03/02/22 03:13 PM Re: SAR or Not - Check Casher - State Req praBSA
edAudit Offline
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edAudit
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You are here
https://law.justia.com/codes/new-york/2012/bnk/article-9-a/367/

License requirements; fees; capital requirements. 1. No person,
partnership, association or corporation shall engage in the business of
cashing checks, drafts or money orders for a consideration without first
obtaining a license from the superintendent.
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#2267101 - 03/02/22 05:21 PM Re: SAR or Not - Check Casher - State Req praBSA
praBSA Offline
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Good, you can see why I have been extremely confused lately. State websites and the law conflicting. I'm a stickler for the law and the letter of the law states any consideration taken means you need to register, which I generally agree with, less the NY website stating otherwise. Stressed in an audit at the moment.

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#2267118 - 03/02/22 06:55 PM Re: SAR or Not - Check Casher - State Req praBSA
edAudit Offline
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edAudit
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You are here
I would go with the state law. At least you have a citation.
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