2010 New York Code
BNK - Banking
Article 13-B - (640 - 652-B) TRANSMITTERS OF MONEY
640 - Definitions.

§ 640.  Definitions.  In  this  article, unless the context or subject
  matter otherwise requires:
    1.   "Person"   means   an   individual,   partnership,   corporation,
  association,  joint  stock  association,  trust  or other group, however
  organized.
    2. "Licensee" means any person duly  licensed  by  the  superintendent
  pursuant to this article.
    3.  "Check"  means  any  check, draft, travelers check, money order or
  other instrument for the transmission or payment of money.
    4.  "purchaser",  "holder",  "New  York  instrument"  and  "New   York
  traveler's  check"  shall  have the respective meanings ascribed to such
  terms by section six hundred fifty-three of this chapter.
    5. "Payment instrument" means any check, draft, money order, or  other
  instrument or order for the transmission or payment of money, whether or
  not  such  instrument  or  order  is negotiable, and sold to one or more
  persons. "Payment instrument" does not include a traveler's  check,  any
  instrument which is redeemable by the issuer in merchandise or services,
  a  letter  of  credit  or  a  permissible  investment as defined in this
  section.
    6. "Outstanding payment instruments" means unpaid payment  instruments
  sold anywhere in the United States and whose sale has been reported to a
  licensee.
    7.  "Traveler's  check"  means  an instrument, regardless of its form,
  specifically identified on the instrument  as  a  traveler's  check  and
  issued in either written form, with a provision for a specimen signature
  of  the  purchaser  to  be  completed  at  the  time  of  purchase and a
  counter-signature of the purchaser to be completed at the  time  of  its
  negotiation,  or  in electronic form with a provision for the electronic
  equivalent  of  the  specimen  signature  and  counter   signature.   An
  instrument  shall not be identified as a traveler's check if it fails to
  comply, as the case may  be,  with  either  the  written  or  electronic
  signature requirements of this subdivision.
    8. "Outstanding traveler's checks" means unpaid traveler's checks sold
  anywhere  in  the  United  States  and whose sale has been reported to a
  licensee.
    9. "Permissible investments" means:
    (i) cash;
    (ii) certificates of deposit or other debt instruments of a commercial
  bank;
    (iii) bills of exchange or time drafts drawn  on  and  accepted  by  a
  commercial  bank,  otherwise  known  as  bankers  acceptances, which are
  eligible for purchase by member banks of the federal reserve system;
    (iv) commercial paper of prime quality  as  defined  by  a  nationally
  recognized organization which rates such securities;
    (v)   interest-bearing   bills,  notes,  bonds,  debentures  or  other
  obligations issued or guaranteed by the United States or  any  state  or
  other local governmental entity or any agent or instrumentality thereof,
  bearing  a  rating  of  one  of the three highest grades by a nationally
  recognized  investment  service  organization  that  has  been   engaged
  regularly  in rating state and municipal issues for a period of not less
  than five years;
    (vi) interest-bearing bills, notes,  bonds,  debentures  or  preferred
  stock  traded  on  any  national  securities  exchange  or on a national
  over-the-counter market or bearing a rating of one of the three  highest
  grades  by  a nationally recognized investment service organization that
  has been engaged regularly in rating corporate debt or equity issues for
  a period of not less than five years; and

(vii) such other investments or assets  if  and  as  approved  by  the
  superintendent.
    Except  for cash and certificates of deposit of a commercial bank, any
  particular investment within the classes of  investments  authorized  by
  this  section  is  subject to disqualification for one or more licensees
  for the purpose of this article, if unsatisfactory for any reason in the
  opinion of the superintendent. Notwithstanding the foregoing  provisions
  of  this section, the superintendent shall have the power to limit, with
  respect to any particular licensee or all licensees, the extent to which
  any class of investments authorized by this section, except for cash and
  certificates of deposit of  a  commercial  bank,  may  be  considered  a
  permissible investment.
    10.  "Agent"  means any person designated or appointed by the licensee
  pursuant to a written agency contract to engage  in  money  transmission
  activities  at  locations  other  than  a  duly authorized office of the
  licensee as provided in section six hundred forty-eight of this article.
  Except for a licensee, any person acting  as  agent  engaging  in  money
  transmission  activities  absent such a written agency contract shall be
  deemed to be in violation of  section  six  hundred  forty-one  of  this
  article  and  may be subject to criminal prosecution pursuant to section
  six hundred fifty of this article. Such term  shall  not  be  deemed  to
  include  any  banking  corporation  incorporated  or licensed under this
  chapter or under the laws of the United States or any other state or any
  casher of checks licensed under this chapter.