- Welcome to NNA Surety
9350 De Soto Avenue
Chatsworth, CA 91311-4926
855-215-2160
info@nnasuretybonds.com(Video) What is a Mortgage Bond? [A mortgage loan originator, lender and servicer requirment]
How much does a mortgage broker bond cost?
Depending on your credit score and your business’s financial health and history, your bond premium (your cost) can range from as low as .75% to 3% of the bond amount. Here is a list of the states in which NNA Surety Bonds provides bond policies for mortgage loan originators, brokers and lenders.
| State | Mortgage Broker Bond | Mortgage Banker/ Lender Bond | Mortgage Servicer Bond | Cost* (Annual Premium) |
|---|---|---|---|---|
| ColoradoShow Details | $25,000 / $15,000 | N/A | N/A | 0.75% of the bond amount |
| IllinoisShow Details | $20,000 - $150,000 | $20,000 - $150,000 | $50,000 | 0.75% of the bond amount |
| New YorkShow Details | $10,000 - $150,000 | $50,000 - $500,000 | TBD | 0.75% of the bond amount |
| VirginiaShow Details | $25,000 - $150,000 | $25,000 - $150,000 | TBD | 0.75% of the bond amount |
| New JerseyShow Details | $100,000 - $300,000 | $100,000 - $300,000 | TBD | 0.75% of the bond amount |
Select your state to see bond prices
| Alabama | $25,000 - $75,000 | N/A | N/A | 0.75% of the bond amount |
| Alaska | $75,000 | $75,000 | N/A | 0.75% of the bond amount |
| Arizona | $10,000/ $15,000 | $25,000/ $100,000 | N/A | 0.75% of the bond amount |
| Arkansas | $100,000/ $150,000/ $200,000 | $100,000/ $150,000/ $200,000 | $100,000/ $150,000/ $200,000 | 0.75% of the bond amount |
| California (CFL License) | N/A | $25,000/ $100,000 | N/A | 0.75% of the bond amount |
| California (RMLA License) | N/A | $50,000 | $50,000 | 0.75% of the bond amount |
| Colorado (Individual) | $25,000 | N/A | N/A | 0.75% of the bond amount |
| Colorado (Company) | $100,000/ $200,000 | N/A | N/A | 0.75% of the bond amount |
| Connecticut | $50,000 | $100,000 - $500,000 | $100,000 | 0.75% of the bond amount |
| District of Columbia | $12,500 - $200,000 | N/A | N/A | 0.75% of the bond amount |
| Delaware | $25,000 | $25,000 - $200,000 | N/A | 0.75% of the bond amount |
| Florida | No Bond Requirement | No Bond Requirement | No Bond Requirement | 0.75% of the bond amount |
| Georgia | $150,000/ $250,000 | $150,000/ $250,000 | N/A | 0.75% of the bond amount |
| Hawaii | No Bond Requirement | No Bond Requirement | $100,000 | 0.75% of the bond amount |
| Iowa | $100,000 | No Bond Requirement | No Bond Requirement | 0.75% of the bond amount |
| Idaho | No Bond Requirement | No Bond Requirement | No Bond Requirement | 0.75% of the bond amount |
| Illinois | $20,000 - $150,000 | $20,000 - $150,000 | $50,000 | 0.75% of the bond amount |
| Indiana | $100,000 | No Bond Requirement | No Bond Requirement | 0.75% of the bond amount |
| Kentucky (Individual) | $20,000 | N/A | N/A | 0.75% of the bond amount |
| Kentucky (Company) | $50,000 | $250,000 | No Bond Requirement | 0.75% of the bond amount |
| Kansas | $50,000 - $125,000 | $50,000 - $125,000 | No Bond Requirement | 0.75% of the bond amount |
| Louisiana | N/A | $25,000/ $50,000 | No Bond Requirement | 0.75% of the bond amount |
| Massachusetts | $75,000 | $75,000 - $500,000 | No Bond Requirement | 0.75% of the bond amount |
| Maryland | N/A | $50,000 - $150,000 | N/A | 0.75% of the bond amount |
| Maine | $25,000 | $50,000 | No Bond Requirement | 0.75% of the bond amount |
| Michigan (Individual Originator) | $10,000 - $50,000 | N/A | N/A | 0.75% of the bond amount |
| Michigan (Company Originator) | $50,000/ $150,000/$250,000 | $50,000/ $150,000/$250,000 | N/A | 0.75% of the bond amount |
| Michigan Broker/Lender/Servicer | $25,000/ $100,000 | $25,000/ $100,000 | $25,000/ $100,000 | 0.75% of the bond amount |
| Minnesota | $50,000 - $200,000 | $100,000 - $200,000 | $100,000 - $200,000 | 0.75% of the bond amount |
| Missouri | $50,000 - $250,000 | $50,000 - $500,000 | N/A | 0.75% of the bond amount |
| Mississippi | $25,000/ $150,000 | $25,000/ $150,000 | N/A | 0.75% of the bond amount |
| Montana | $25,000/ $50,000/ $100,000 | $25,000/ $50,000/ $100,000 | $75,000 - $350,000 | 0.75% of the bond amount |
| North Carolina | $75,000 - $250,000 | $150,000 - $500,000 | TBD | 0.75% of the bond amount |
| North Dakota | $25,000 | $25,000 | TBD | 0.75% of the bond amount |
| Nebraska | $100,000 - $200,000 | $100,000 - $200,000 | TBD | 0.75% of the bond amount |
| New Hampshire | $50,000 | $100,000 | TBD | 0.75% of the bond amount |
| New Jersey | $100,000 - $300,000 | $100,000 - $300,000 | TBD | 0.75% of the bond amount |
| New Mexico | $50,000 - $150,000 | $50,000 - $150,000 | TBD | 0.75% of the bond amount |
| New York | $10,000 - $150,000 | $50,000 - $500,000 | TBD | 0.75% of the bond amount |
| Nevada | $50,000 - $75,000 | $50,000 - $75,000 | TBD | 0.75% of the bond amount |
| New York | $10,000 - $150,000 | $50,000 - $500,000 | TBD | 0.75% of the bond amount |
| Ohio | $150,000 | $150,000 | TBD | 0.75% of the bond amount |
| Oklahoma | N/A | $5,000 | TBD | 0.75% of the bond amount |
| Oregon | $50,000 - $200,000 | $50,000 - $200,000 | TBD | 0.75% of the bond amount |
| Pennsylvania | $50,000 - $150,000 | $100,000 - $500,000 | TBD | 0.75% of the bond amount |
| Rhode Island | $25,000 | $50,000 | TBD | 0.75% of the bond amount |
| South Carolina | $25,000 - $55,000 | $50,000 - $150,000 | TBD | 0.75% of the bond amount |
| South Dakota | $25,000 | $25,000 | TBD | 0.75% of the bond amount |
| Tennessee | $45,000 - $135,000 | $100,000 - $300,000 | TBD | 0.75% of the bond amount |
| Texas | N/A | N/A | $200,000 | 0.75% of the bond amount |
| Utah | $12,500 - $50,000 | N/A | TBD | 0.75% of the bond amount |
| Virginia | $25,000 - $150,000 | $25,000 - $150,000 | TBD | 0.75% of the bond amount |
| Vermont | $25,000 - $100,000 | $50,000 - $150,000 | TBD | 0.75% of the bond amount |
| Washington | $30,000 - $60,000 | $30,000 - $150,000 | TBD | 0.75% of the bond amount |
| Wisconsin | $120,000 | $300,000 | TBD | 0.75% of the bond amount |
| West Virginia | $50,000 - $150,000 | $100,000 - $250,000 | TBD | 0.75% of the bond amount |
| Wyoming | $25,000 - $100,000 | $25,000 - $100,000 | TBD | 0.75% of the bond amount |
Call now to lock in your price
855-215-2160
Monday to Friday, 6 a.m. to 5 p.m. (PT)
*Cost can vary depending on the bond amount required and your credit rating
What is a mortgage broker surety bond?
A mortgage broker surety bond is a binding legal agreement designed to encourage honest, ethical and legal behavior in how you run your brokerage. If you act in violation of state regulations and cause harm to your clients, the surety that holds the bond can be tapped to compensate them for financial losses. You, the licensed mortgage loan broker or originator, will then be required to pay back the full amount to the surety company. This loan broker/originator bond policy is one of the most popular types of surety bonds required for mortgage professionals. However, depending on the type of mortgage license you hold, you may need to purchase a mortgage banker/lender bond instead of a broker bond. Alternatively, a mortgage servicer bond may be necessary based on your licensure.
These three license bonds are very similar in their purpose and function, but coverage amounts, and premiums vary (see our pricing table above).
What are the surety bond requirements for mortgage brokers and lenders?
Many states require mortgage brokers, or loan originators, to post a surety bond as part of the licensing process to operate a mortgage loan business. In addition to being licensed, mortgage bankers/lenders must also get a surety bond to guarantee compliance with state regulations governing this line of business.
Laws regulating mortgage loan professionals vary from state to state. Here are some general steps to take if you want to qualify for a mortgage surety bond:
- Get in touch with the department in your state government that handles business licensing. Many states have helpful websites with checklists for getting started.
- Determine the bond amount required in your state and the exact license type needed (e.g. Broker/Lender/Servicer).
- Contact us for a free quote and begin the application process for a mortgage broker bond.
You should check the regulations in your state for specifics related to your mortgage brokerage, lending, or servicing business.
Get bonded in your state
We provide surety bonds for mortgage brokers/loan originators, bankers/lenders, and servicers in the following states: Alabama, Alaska, Arizona, Arkansas, California, Colorado, Connecticut, District of Columbia, Delaware, Georgia, Iowa, Illinois, Indiana, Kentucky, Kansas, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, Mississippi, Missouri, Montana, North Carolina, Nevada, New England, New Hampshire, New Jersey, New Mexico, New York, North Dakota, Ohio, Oklahoma, Oregon, Pennsylvania, Rhode Island, South Carolina, South Dakota, Tennessee, Texas, Utah, Vermont, Virginia, Washington, Wisconsin, West Virginia, and Wyoming.
If you are ready to get a surety bond or would like to learn more about the bond liability required in your state, contact us!
What else should I know about the mortgage broker bond?
As with all surety bonds, the surety bonds for mortgage brokers and loan originators are all contracts among three entities: the principal (your mortgage business), the obligee (the state regulating authority), and the surety (the company providing the bond). Should your company violate the terms of your mortgage broker bond and damages are awarded, the surety company will pay the affected party in the event that you become insolvent. The surety company will still seek reimbursement from you for any losses paid on the claim.