Maryland Money Transmission Act - Definition of Money Transmitter - Alteration

HB 118 modifies Maryland's definition of "money transmitter" to exclude certain payroll processing agents. Specifically, it removes the licensing requirement for agents acting on behalf of an employer to process payroll payments, provided there is a written agreement between the employer and agent, the agent isn't acting as another payee, and the employer remains liable if funds aren't remitted to employees. This directly affects payroll service providers working as agents for employers under these conditions. The change takes effect October 1, 2026, streamlining compliance for these specific payroll operations.