Who requires it
North Dakota Department of Financial Institutions — Money transmitters
License & permit · North Dakota
North Dakota Money Transmitter Bond
North Dakota money transmission applicants and licensees must provide a bond under NDCC 13-09.1-33. The statute requires a surety bond in a form satisfactory to the commissioner or, with the commissioner’s approval, a deposit instead of a bond. The amount is the greater of $100,000 or 100% of the licensee’s average daily money transmission liability in North Dakota for the most recently completed three-month period, capped at $500,000. If the licensee’s tangible net worth exceeds ten percent of total assets, the required bond is $100,000. A licensee that already keeps the maximum $500,000 bond need not calculate average daily North Dakota liability for this section. Keep the bond or deposit in place for the entire license term and increase it when liability pushes the formula higher.
Common bond amount
$100,000–$500,000
Greater of $100,000 or 100% of average daily ND liability (3-month), max $500,000; or $100,000 if tangible net worth exceeds 10% of total assets. Deposit may substitute with commissioner approval.
How you file
Surety bond, or a deposit the commissioner approves instead
Renewal
Maintain while licensed; resize with average daily ND liability
Who requires it
Applicants for and holders of North Dakota money transmission licenses under NDCC chapter 13-09.1 filing with the Department of Financial Institutions.
How much is required
Compute average daily North Dakota money transmission liability for the latest three-month period and take the greater of that figure or $100,000, not exceeding $500,000—unless tangible net worth exceeds ten percent of total assets, in which case the bond is $100,000. Confirm any deposit alternative with the commissioner before substituting for a surety.
How to get and file it
Confirm the applicable amount under NDCC 13-09.1-33, arrange a surety or commissioner-approved deposit in the exact licensee name, and file through NMLS as DFI instructs. Maintain the bond or deposit while licensed. Recalculate average daily liability when required, and increase the bond or deposit before the amount falls short. Licensees already at the $500,000 maximum may rely on that statutory relief from ongoing average-daily-liability calculations.
Cost note
The formula result is the required bond amount, not the premium you pay. Approved deposits are alternatives, not free coverage. See bond amount vs premium. Bond amount vs premium →
Requirement checklist
- Standard formula
- Greater of $100,000 or 100% of average daily ND money transmission liability (latest 3 months)
- Maximum under formula
- $500,000
- High tangible-net-worth path
- $100,000 if tangible net worth exceeds 10% of total assets
- Alternative
- Commissioner-approved deposit instead of bond
Official sources
Related resources
Frequently asked questions
Can I use a deposit instead of a surety bond?
Yes, if the commissioner approves a deposit instead of a bond under NDCC 13-09.1-33. Do not assume a deposit is automatic—obtain approval first.
Do I still calculate liability if I already post $500,000?
A licensee that maintains the maximum bond amount under the average-daily-liability formula is not required to calculate average daily North Dakota money transmission liability for purposes of this section.
Related North Dakota bond guides
Money Broker / Mortgage Lender Bond
≥ $50,000
North Dakota money brokers must keep a surety bond of at least $50,000 under NDCC 13-04.1-04.1. Residential mortgage lenders licensed under NDCC chapter 13-12—created in 2023 for residential mortgage lending that previously sat under the money-broker chapter—must keep the same at-least-$50,000 floor under NDCC 13-12-07. In both statutes the bond must be in a form the commissioner prescribes. When a claim is filed on the bond, the commissioner may require a new bond, and the licensee must file a new bond immediately after any recovery. Both credentials also carry a separate $25,000 minimum net-worth requirement that is not a substitute for the surety. File through the Department of Financial Institutions / NMLS as the current checklists require.
Collection Agency Bond
$50,000
North Dakota collection agencies must keep a $50,000 surety bond under NDCC 13-05-04.1. The statute sets a fixed amount—not a volume schedule—and requires the bond in a form prescribed by the commissioner. When a claim is filed on the bond, the commissioner may require a new bond, and the licensee must file a new bond immediately after any recovery. Keep uninterrupted coverage for the life of the collection-agency license through the Department of Financial Institutions / NMLS filing path.
Motor Vehicle Dealer Bond
$10,000–$50,000
North Dakota dealers must file a surety bond with the Motor Vehicle Division before the department issues the matching dealer license. New and used motor vehicle dealers post $25,000 under NDCC 39-22-05. Trailer dealers and motor-powered recreational vehicle dealers post $10,000 under NDCC 39-22.1-02 and 39-22.3-05. Mobile home and manufactured home dealers post $50,000 under NDCC 39-18-02. Across these chapters, the bond runs to the state and covers customers for statutory compliance failures—including proper title delivery. Claims cannot exceed the bond amount. The surety may cancel future coverage by certified mail to the dealer and the department; thirty days after mailing, the bond no longer covers later liability. The MVD dealer handbook states that cancellation suspends the dealer’s license. Keep the bond name aligned with the dealership’s licensed business name.
Surety basics (not repeated here)
Universal surety concepts explained once—linked here instead of repeated on every state or bond page.
Continue with a North Dakota application
North Dakota will be preselected. Choose your bond type in the application—we confirm the correct product against your agency form before anything is issued.
Last verified 2026-08-12. This guide is based on verified educational content and official sources.
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