Minnesota Residential Mortgage Originators Surety Bond
The State of Minnesota, Department of Commerce, through the National Mortgage Licensing System, is tasked with the licensing of residential mortgage servicers and mortgage loan originators. Minnesota Statutes Chapter 58 Section 04, defines the licensing of a residential mortgage servicer and mortgage originator and surety bond requirements.
Surety Bond Requirements:
A surety bond is required based on the total loan volume of the previous 12 months:
|Dollar amount of Closed Loan Value||Surety Bond Required|
|$0 - $5,000,000||$100,000|
|$5,000,000.01 to $10,000,000||$125,000|
|$10,000,000.01 to $25,000,000||$150,000|
- Complete education and testing requirements.
- Complete the mortgage originator application found on the NMLS system and pay the applicable license fee and filing fee.
- Provide bank account information if the applicant will be holding client funds for future distribution.
- The Registered Agent or Resident Agent must be completed on the application and must match the Minnesota Secretary of State record.
- Provide copies of business formation documentation for applicants that are corporations, partnerships, or limited liability companies.
- Obtain a Good Standing Certificate or Certificate of Authority. This document is issued by the state in which the business was incorporated in.
- Indicate on the application any dba's or trade names that will be used. Mortgage originators may only use one trade name, but are not limited on the number of dba names. A separate license is required for each trade name or dba.
- If applicant answers Yes to any of the Disclosure Questions, provide a detailed explanation for each answer and provide any applicable documentation to support the disclosure.
- Note: licensees must keep loan records (applied for, serviced, originated) and materials used for advertisement for a minimum of 60 months.
- Complete the Affirmation Under Oath form and submit with application.
How Much Will This Bond Cost?
The premium that you pay for a Minnesota Residential Mortgage Originator Surety Bond is dependent on credit and personal and/or business financial statements. Premiums start at .75% of the bond amount with good credit. Contact our Surety Bond Specialists for a free quote that fits your specific situation.
Did You Know?
That State of Minnesota requires residential mortgage originators to renew their license annually by December 15.
Related Links:NMLS - Minnesota Annual Renewal InformationNMLS Registration PortalMinnesota Mortgage Loan Originator License RequirementsMinnesota Residential Mortgage Originator License - New Application Checklist
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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