Under federal law, many money transmitters, a number of banks and credit unions, and possibly other types of financial services companies qualify as “remittance transfer providers.” According to the law, a remittance transfer provider is any entity that provides remittance transfers for a consumer in the normal course of its business.
A company is not a remittance transfer provider if it provided 500 or fewer remittance transfers in the prior calendar year and provides 500 or fewer transfers in the current calendar year. If you use such a company to send a money transfer, then federal law does not require them to provide you with the following protections.