Georgia Mortgage Brokers & Mortgage Processors Surety Bonds
The State of Georgia's Department of Banking and Finance administers the licensing of Mortgage Brokers and Mortgage Processors through the NMLS: the National Mortgage Licensing System. The Georgia Rules and Regulations, Chapter 80-5-1 defines the regulations for financial institutions including licensing and surety bond requirements.
Surety Bond Requirements:
Obtain a minimum $50,000 surety bond. If a broker is using warehouse lines, the broker is considered a lender and must obtain a $150,000 surety bond. The name on the surety bond for the principal (applicant) must match exactly as the full legal name of the license application.
- Complete all pre-licensing education and take and pass the written examinations.
- Complete the mortgage broker and processor license application found on the National Mortgage Licensing System (NMLS) and pay the applicable credit report fee, FBI Criminal Background Check Fee and processing fee.
- The resident agent section of the application must match the information currently on file with the Georgia Secretary of State.
- Provide financial statements that include a balance sheet and income statement. For a new start up business, an initial statement of condition is required.
- Provide a business plan that includes marketing strategy and products, operating structure, etc.
- Submit a Management Chart for all divisions, officers, managers and an Organizational Chart for applicants that are owned by another entity or entities.
- Provide formation documentation for applicants that are partnerships, corporations, or limited liability companies.
- Complete the Grievance Policy that specifies the procedures for grievances.
- Indicate on the application any trade names or dba’s that will be used. If domiciled in Georgia, the applicant must file a Trade Name Registration with the Superior Court in the county or counties in which the business is located. If using more than one dba or trade name, each name must be registered.
- If applicant answers "Yes" to any of the Disclosure Questions, provide an explanation for each answer and provide applicable backup documents, if any.
- A credit report is required for each person of control for the business. If any credit report contains any negative credit remark, bankruptcies or liens, an explanation and/or proof of settlement is required. Individuals with child support or student loans must provide proof of payment arrangements.
- Provide photo IDs.
- FBI Criminal Background Check is required for any person of control (director, officer, partner, agent, employee, or a person having more than 10% ownership, or person that establishes policy or directs affairs). An Authorization for Background Check and Release is also required.
- Complete the Signature of Oath of Applicants document.
- Provide a copy of the original completed IRS 4506T form and a copy of the company’s most recent tax return. Provide a copy of the tax return of the parent company if applicable. If a new entity, provide a letter of explanation.
- Complete the Verification of Lawful Presence with the United States.
- Obtain a letter of Good Standing or Certificate of Authority from the Secretary of State.
How Much Will This Bond Cost?
The premium that you pay for a Georgia Mortgage Broker or Processor Surety Bond is dependent on credit and the bond amount required.
Did You Know?
Georgia mortgage brokers must renew their license annually prior to January 1. (Georgia Rules and Regulations 80-5-.02 (4)(b))
Related Links:NMLS Registration Portal NMLS - Georgia Mortgage Broker/Processor License/Registration Information Georgia Mortgage Brokers, Lenders and Originators Information
More Surety Bond Questions?
Check out our FAQ page or What’s a Surety Bond? page. Should you need or choose to buy a surety bond, buy from us. SuretyGroup.com has been underwriting surety bonds throughout the U.S. for more than 35 years. When you work with us, you enjoy the unique benefit of dealing with a team of highly experienced surety agents with in-house underwriting authority. This allows you to receive competitive, low rates, quick approvals, and immediate bond delivery. In most cases, your bond will be delivered within 24 hours after you apply for it.
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