The following links will take you to the applicable sections of the Massachusetts General Laws which address the supervision of electronic service providers.
Refer to 209 CMR 31.00 et seq., which addresses the establishment and operation of ATMs for depository institutions (banks and credit unions) and non-banks and for the protection of consumers in electronic fund transfers.
The following describes the procedures used to apply for approval to open or close an ATM or to provide EFT services:
The Division of Banks regulation 209 CMR 31.40 requires that all non-bank ATM providers seeking to operate ATMs in the Commonwealth must submit an application to provide electronic services. Pursuant to 209 CMR 31.02, a merchant is not considered to be a “non-bank ATM provider”. Therefore, all applications must be submitted by the entity that processes the electronic transactions (usually, the Independent Sales Organization). Applications submitted by merchants will be returned. Please be advised that operating an ATM without complying with 209 CMR 30.00 may result in in the initiation of enforcement action and/or the imposition of sanctions under M.G.L. c. 167B, §§ 20 through 22.
- 1. All non-bank electronic service providers that have not received prior approval to operate in the Commonwealth must submit an 'Application to Provide Electronic Services.' You can download the application in either a Microsoft Word file or a PDF format below.
You can download the 'Application to Provide Electronic Services' in either a Microsoft Word or PDF format.
- All insured depository institutions, as well as all non-bank electronic service providers that have received prior approval from the Division, must submit a notice to the Division within 30 days after opening an ATM location. The notice should contain the following information: complete address of the ATM location; whether or not the ATM will impose a surcharge; the amount of the surcharge (if applicable); the terminal identification number; and the date that the ATM began operations. Such notice will be deemed an application for the purpose of G.L. c. 167B, s. 4 and shall be deemed approved upon receipt. When applying to the Division of Banks to open a branch, banks or credit unions will be asked if they intend to operate an ATM at the location and need not provide further notice.
- All insured depository institutions and non-bank electronic service providers must submit a notice to the Division 30 days prior to relocating an ATM location. The notice should contain the following information: complete address of the ATM location, the terminal identification number, and the date the ATM will be relocated. Such notice will be deemed approved upon receipt.
- Under 209 CMR 31.06(4)(b) and 31.07(2), every bank, credit union, and non-bank electronic service provider must provide the Division at least 30 days notice of any proposed changes to its previously submitted schedule of fees (see Schedule Q below).
- All insured depository institutions and non-bank electronic service providers must submit a notice to the Division 30 days prior to closing an ATM location. The notice should contain the following information: complete address of the ATM location, the terminal identification number, and the date the ATM will cease operation. Such notice will be deemed approved upon receipt. If a bank, credit union or non-bank electronic service provider is unable to provide 30 days notice due to an unforeseen emergency, the Division will deem a notice approved upon receipt.
Annually, owner/operators of electronic branches located within the Commonwealth of Massachusetts must submit a list of all electronic branches in operation as of the close of business December 31 of the prior year. The Division requires that the information be submitted in electronic format by e-mail. This report, known as Schedule Q, is available for download in Microsoft Excel (.xls) format.
Upon completing the Schedule Q form, it should be emailed as an Excel attachment to: firstname.lastname@example.org
If you have any questions regarding the application procedure or the procedure for downloading or submitting Schedule Q, please leave your inquiry on the Division's Licensing and Registration telephone line (617) 956-1500 Ext. 61479, and a Division representative will contact you.