Quoted:
I picked my FFL from the list on the drop down, so I still need him to send a copy of his FFL prior to them shipping?
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Funny I found this thread as I just ran into this issue not too long ago with my first ever FFL transfer from Palmetto. Found a smaller nearby FFL with a much more reasonable transfer cost than local gun stores, contacted him about it, saw he was in the drop-down for Palmetto already and went ahead with the order. Ended up with an email from Palmetto's Compliance department saying
"The copy we have on file for your chosen FFL dealer will expire within two weeks (5/1/17). Due to company policy, we must have a renewed copy of their license before we process and ship your order. Please ask them to email a signed, updated copy of their FFL to our Compliance Department by replying to this email or via fax to 803-xxx-xxxx."
Anyways, was a simple matter of him sending them an updated copy and everything getting processed.
That all said, I'm assuming that if it's in the drop-down, that means they have the FFL on file: just a question of if it's up to date or not. In the (I'd think reasonably uncommon) situation where it's not, Palmetto's compliance dept. will email you and try to get it resolved as they did with me. If your FFL is responsive, you're really only looking at a day's delay. If you're really opposed to any potential delays, probably easier to just ask your FFL if the copy they have with Palmetto is up-to-date (rather than trying to get a hold of someone at PSA to look into the matter for you, as I get the impression that their staffing is spread fairly thin due to such large volumes of sale).