HB 5544 Michigan House · 2025-2026 Regular Session

Financial institutions: money transmitters; money transmission modernization act; create. Creates new act.

HB 5544, the "Money Transmission Modernization Act," creates a new regulatory framework for money transmitters (such as digital payment apps and services) operating in Michigan. It replaces Michigan’s outdated 2006 money transmission laws, requiring these businesses to obtain state licenses, standardizing which activities need licensing, and establishing safety rules to protect customer funds. The bill also mandates that transmitters calculate their average daily money transmission liability and adhere to modernized requirements for financial crime prevention and regulatory coordination. This affects all money transmitters serving Michigan residents and the Department of Insurance and Financial Services, which will enforce the new rules.
Bill status passed both 4 of 5 stages cleared
Introduction
Feb 2026
Committee Review
Jul 2026
House Passage
Jun 2026
Senate Passage
Jul 2026
Governor
Introduced Feb 19, 2026 Last action Jul 1, 2026
Maddy AI version diff · 3 comparisons

What changed between versions

Substitute (H-1) Substitute (H-2) · 4 edits
MODERATE
The legislative text was replaced with the full content of a new bill (HB 5544), the 'Money Transmission Modernization Act,' which introduces a comprehensive framework for regulating money transmission businesses. This replaces the previous list of unrelated bills in the committee records with a single, substantive piece of legislation designed to modernize laws, standardize licensing, and protect customer funds.
Scope change
The document's scope shifted from a list of various unrelated bills to a single, detailed bill establishing a new regulatory regime for money transmission services.
SCOPE

Added a new bill establishing the 'Money Transmission Modernization Act' to replace existing laws and modernize regulations for money transmission businesses.

DEFINITION

Added new legal definitions for key terms such as 'acting in concert,' 'control,' 'average daily money transmission liability,' and 'eligible rating service' to clarify regulatory standards.

REQUIREMENT

Added requirements for the state to coordinate with other states to eliminate unnecessary regulatory burdens and standardize licensing activities.

ENFORCEMENT

Added provisions to protect the public from financial crime and ensure customer funds are protected through modernized safety and soundness requirements.

Floor votes · House Jun 25, 2026

How they voted

This bill passed the Senate by voice vote (no roll call recorded).
Full legislative history

Actions timeline

Total actions
16
Key actions
6
Committee
5
Jul 1, 2026
Committee
REFERRED TO COMMITTEE ON FINANCE, INSURANCE, AND CONSUMER PROTECTION
upper
Jul 1, 2026
Upper · Passed
PASSED BY HOUSE WITH IMMEDIATE EFFECT
upper
Jun 25, 2026
Lower · Passed
passed; given immediate effect Roll Call #263 Yeas 97 Nays 10 Excused 0 Not Voting 3
lower
Jun 23, 2026
Lower · Passed
substitute (H-2) adopted
lower
Jun 18, 2026
Committee
referred to second reading
lower
Jun 18, 2026
Lower · Passed
reported with recommendation with substitute (H-2)
lower
Mar 17, 2026
Lower · Passed
recommendation concurred in
lower
Mar 17, 2026
Lower · Passed
reported with recommendation for referral to Committee on Rules with substitute (H-1)
lower
Feb 19, 2026
Committee
referred to Committee on Finance
lower
Feb 19, 2026
Introduced
introduced by Representative Rep. Sarah Lightner
lower
1 primary · 5 co-sponsors

Sponsors