Virginia Mortgage Lenders are required to have a license and file a Virginia Mortgage Lender Bond as a condition of licensure. Mortgage lenders that offer first mortgage lending, second mortgage lending, mortgage loan modifications, reverse mortgage lending, home equity lending, and high cost mortgage lending are required to have a license to conduct business.
Applicants apply for their license through the National Mortgage Licensing System (NMLS).
The license requirements are as follows:
Complete the application and pay the NMLS processing fee, credit report fee, licensing fee, state criminal history check. Send the check for criminal background check to the Bureau of Financial Institutions, all other fees are paid through the NMLS system.
Obtain a $50,000 surety bond from SuretyGroup.com. If the applicant is already a licensed mortgage broker in Virginia, the surety will need to issue a rider to increase the bond amount from $25,000 to $50,000. A copy of the bond must be uploaded into the NMLS system and the original bond must be mailed directly to the Bureau of Financial Institutions, Administration and Licensing Section, P.O. Box 640, Richmond, VA 23218-0640.
Upload the following documents into NMLS: a management chart, a business plan, an organizational chart, and financial statements-balance sheet, income statement and all relevant notes. New companies need only to submit a beginning balance sheet.
Applicants that are a corporation, limited liability company, trust, unincorporated association, not for profit corporation or partnership need to provide a copy of their formation documents and a Good Standing Certificate or Certificate of Authority. The certificate is obtained from the Clerk of the Virginia State Corporation Commission.
Applicants that will be using a trade name or dba need to obtain an assumed name certificate obtained from the local county or city circuit court. Upload a copy in NMLS.
Submit the following for directors, owners, executive officers directly to the Bureau of Financial Institutions, Administration and Licensing Section: Personal financial statements, criminal history consent forms, principal financial statements, business references, a bank reference and evidence of at least $200,000 for business operations.
If any of the disclosure statements were answered "yes," provide an explanation for each one.
The premium that you pay for a Virginia Mortgage Lender Bond is dependent on credit.
Contact our Surety Bond Specialists at:
Hours: 8:00-5:00 CST, Monday through Friday