When the terms listed below are used in the Uniform Money Services Act, Arkansas Code § 23-55-101 et seq., any rules or forms promulgated under the Uniform Money Services Act, or any order of the Securities Commissioner under the Uniform Money Services Act, the following definitions shall apply, unless a contrary definition is expressly provided or clearly required by the context, to the extent that they do not conflict with the definitions set forth in the Uniform Money Services Act:

1. (1) “Act” means the Uniform Money Services Act, Arkansas Code § 23-55-101 et seq., as the same may be codified and amended from time to time;
2. (2) “Applicant” means a person who submits an application for a money transmission or currency exchange license in Arkansas;
3. (3) “Application” means the form prescribed by the Securities Commissioner for filing in connection with obtaining either a money transmission license or currency exchange license in Arkansas, including all amendments, papers, documents, and exhibits incidental thereto;

4. (4)

   1. (A) “Audited financial statement” means a financial statement prepared in accordance with generally accepted accounting principles and audited by an independent accountant according to generally accepted auditing standards in the United States or for a company formed outside the United States.
   2. (B) “Audited financial statement” means a financial statement prepared in accordance with international financial reporting standards promulgated by the International Financial Reporting Standards Foundation and the International Accounting Standards Board;
5. (5) “Commissioner” means the Securities Commissioner and includes the Security Commissioner’s designees;

6. (6)

   1. (A) “Currency exchange” means:

      1. (i) Exchanging the money of one (1) government for money of another government; or
      2. (ii) Holding oneself out as able to exchange the money of one (1) government for money of another government.

   2. (B) The following persons are not considered currency exchangers:

      1. (i) Affiliated businesses that engage in currency exchange for a business purpose other than currency exchange;
      2. (ii) A person who provides currency exchange services for a person acting primarily for a business, commercial, agricultural, or investment purpose when the currency exchange is incidental to the transaction;
      3. (iii) A person who deals in coins or a person who deals in money, the value of which is primarily determined because it is rare, old, or collectible; and
      4. (iv) A person who in the regular course of business chooses to accept from a customer the currency of a country other than the United States in order to complete the sale of a good or service other than currency exchange, that may include cash back to the customer, and does not otherwise trade in currencies or transmit money for compensation or gain;
7. (7) “Department” means the State Securities Department;

8. (8) “Engaged in the business of money services”, unless otherwise provided, includes any person:

   1. (A) Who holds himself or herself out as being:

      1. (i) A currency dealer or exchanger;
      2. (ii) An issuer of traveler’s checks, money orders, prepaid access, or stored value; or
      3. (iii) A seller or redeemer of traveler’s checks, money orders, prepaid access, or stored value; or
   2. (B) Who receives money or monetary value for the purpose of transmitting said money or monetary value using a system outside that of a conventional financial institution;

9. (9)

   1. (A) “Medium of exchange” connotes that the value is accepted by a larger group than the two (2) parties to the change.
   2. (B) Therefore, no monetary value, as that term is defined in the Uniform Money Services Act, would exist if the product (i.e., gift certificate) or payment mechanism (i.e., universal payment card) is only accepted by one (1) merchant;

10. (10)

    1. (A) “Money transmission” means:

       1. (i) Selling or issuing:

          1. (a) (a) Payment instruments;
          2. (b) (b) Stored value;
       2. (c) (c) Prepaid access; or
       3. (ii) Receiving money or monetary value for transmission.
    2. (B) The term excludes entities that provide delivery services, e.g., courier or package delivery services, and entities that act as mere conduits for the transmission of data, e.g., internet service providers.

    3. (C) The term does, however, include the following:

       1. (i) A bill payer service, except that the term does not include a service that transfers money or monetary value directly from a purchaser to a creditor of the purchaser or to an agent of the creditor; and
       2. (ii) Any informal money transfer system engaged in as a business for, or network of persons who engage as a business in, facilitating the transfer between persons who engage as a business in, facilitating the transfer of money outside the conventional financial institutions system to a location within or outside the United States;

11. (11) “Nationwide Multistate Licensing System (NMLS)” means the automated licensing system developed and maintained by the Conference of State Bank Supervisors for the licensing and registration of:

    1. (A) Money transmitters;
    2. (B) Agents of money transmitters; and
    3. (C) Currency exchangers;

12. (12) “Prepaid access” means access to funds or the value of funds that have been paid in advance and can be retrieved or transferred at some point in the future through an electronic device or vehicle, such as a:

    1. (A) Card;
    2. (B) Code;
    3. (C) Electronic serial number;
    4. (D) Mobile identification number; or
    5. (E) Personal identification number;

13. (13) “Principal” means any person who:

    1. (A) Controls, directly or indirectly through one (1) or more intermediaries, alone or in concert with others, a twenty-five percent (25%) or greater interest in a:

       1. (i) Partnership;
       2. (ii) Company;
       3. (iii) Corporation; or
       4. (iv) Association; or
    2. (B) The owner of a sole proprietorship; and
14. (14) “Staff” means the staff of the State Securities Department.