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Can I accept payments online without violating payment processing laws in Georgia? What are the requirements?

To accept payments online in Georgia, you must comply with the state’s payment processing laws. The Georgia Department of Banking and Finance regulates payment processing in the state.

Requirements for Licensure

To engage in the sale of payment instruments or money transmission within Georgia, you must obtain a license from the Georgia Department of Banking and Finance [3.3]. Each applicant for a license must submit an application in writing, which is made under oath and in such form as the department may prescribe. The applicant must also furnish the legal name and principal office address of the person applying for the license, the name, residence, and business address of each director, ultimate equitable owner, and executive officer, and the complete address of each location where the applicant proposes to engage in the sale of payment instruments or money transmission within Georgia [3.3].

Authorized and Verified Payment Orders

If a bank and its customer have agreed that the authenticity of payment orders issued to the bank in the name of the customer as sender will be verified pursuant to a security procedure, a payment order received by the receiving bank is effective as the order of the customer, whether or not authorized, if the security procedure is a commercially reasonable method of providing security against unauthorized payment orders, and the bank proves that it accepted the payment order in good faith and in compliance with the security procedure and any written agreement or instruction of the customer restricting acceptance of payment orders issued in the name of the customer [2.4].

Exemption from Licensing Requirements

The requirement for licensure set forth in Georgia’s payment processing laws shall not apply to certain entities, including state or federally chartered banks, trust companies, credit unions, savings and loan associations, or savings banks with deposits that are federally insured, the United States Postal Service, a state or federal governmental department, agency, authority, or instrumentality and its agents, any foreign bank that establishes a federal branch pursuant to the International Bank Act, 12 U.S.C. Section 3102, and an individual employed by a licensee or any person exempted from the licensing requirements of Georgia’s payment processing laws when acting within the scope of employment and under the supervision of the licensee or exempted person as an employee and not as an independent contractor [1.2][3.1].

Based on the documents provided, it is unclear whether you can accept payments online without obtaining a license from the Georgia Department of Banking and Finance. Therefore, to ensure compliance with Georgia’s payment processing laws, it is recommended that you consult with a legal professional or contact the Georgia Department of Banking and Finance directly.

Source(s):
Jurisdiction

Georgia, Georgia