Section 6. Fee, Financial Statement and Security Bond.--(Hdg. amended June 27, 2025, P.L.9, No.7) (a) Each application for a license shall be accompanied by:
(1) an application fee of five thousand dollars ($5,000);
(2) a financial statement showing a tangible net worth of at least five hundred thousand dollars ($500,000) as determined by audited financials prepared in accordance with United States generally accepted accounting principles; ((2) amended June 27, 2025, P.L.9, No.7)
(3) a bond in the penal sum of one million dollars ($1,000,000) executed by a surety company authorized to transact business within the Commonwealth of Pennsylvania. The bond shall run to the Commonwealth of Pennsylvania and shall be for the use of the Commonwealth and of any person or persons who may have a cause of action against the licensee for failure to carry out the terms of any transmittal instrument which the licensee shall have issued and who were residents of the Commonwealth of Pennsylvania at the time the cause of action arose. The condition of the bond shall be that the licensee will comply with and abide by the provisions of this act and the rules and regulations of the department lawfully promulgated under this act and that the licensee will pay to the Commonwealth, to the department or to any other person any moneys that may become due from the licensee to the Commonwealth or to the department or to any other person under the provisions of this act or of any transmittal instrument issued by the licensee within this Commonwealth and who were residents of the Commonwealth of Pennsylvania at the time the cause of action arose. If any person shall be aggrieved by the misconduct of any licensee, he may upon recovering judgment against such licensee, issue execution under such judgment and maintain an action upon the bond of the licensee in any court having jurisdiction of the amount claimed, provided the department assents thereto. ((3) amended June 27, 2025, P.L.9, No.7)
(b) ((b) deleted by amendment)
(b.1) If the department, in its discretion, shall determine the bond provided for in clause (3) of subsection (a) is not adequate, the department may, after an examination and a consent agreement or order, require an additional bond in an amount up to the average daily outstanding balance of money received for transmission in this Commonwealth during the thirty days preceding the department's requirement plus an additional ten percent of the amount of the average daily outstanding balance subject to the same conditions and the same right of execution provided for in clause (3) of subsection (a). ((b.1) amended June 27, 2025, P.L.9, No.7)
(c) Should any licensee become insolvent, the principal sum of the bond shall be applied to the payment in full of claims arising out of the issuance of transmittal instruments in this Commonwealth and any administrative costs incurred by or fines imposed by the department.
(6 amended Nov. 3, 2016, P.L.1002, No.129)
Compiler's Note: Section 16 of Act 129 of 2016, which amended section 6, provided that the amendment shall not apply to a transaction which was conducted prior to the effective date of section 16.
Subsection (b), referred to as "the following subsection", in subsection (a)(3), was deleted by Act 129 of 2016.
Compiler's Note: Section 15 of Act 67 of 1990 provided that section 6 is repealed insofar as it relates to fee payments.