Update February 2020: AmeriPro Surety Bonds now offers this bond up to a $50,000 requirement, without a credit check. The premium for a $50,000 surety bond amount is $375. Additionally, if required, we can file your surety bond to NMLS.
Our article breaks the surety bond requirement into two categories:
AmeriPro Surety Bonds provides the mortgage loan originator bond in both categories.
As a prerequisite for licensing with New York state as mortgage loan originators, individuals are required to obtain a surety bond. The amount required will depend on the dollar amount of loans originated in New York state.
The breakdowns are as follows:
The existence of this surety bond serves as a financial guarantee for the benefit of your customers.
More specifically, the bond ensures that the licensed mortgage loan originator will abide by all laws and statutes in their professional capacity.
The bond, as such, protects these others – your customers --- from acts of fraud, theft, criminal misconduct and malfeasance that a license mortgage loan originator might commit against the interests and to the harm of any customers.
As you’ve probably noted, the purpose of the bond --- besides being a requirement for licensing --- is all to the benefit of your customers. And your assertion is correct.
The bond only exists to protects your customers; it is not a liability insurance policy for the mortgage loan originator.
Were a claim to be paid on this surety bond, as a licensed originator, it is your legal responsibility to reimburse the surety for all costs involved in satisfying the claim.
The premium is the price that you’ll pay for the mortgage loan originator bond’s issuance.
And you’re correct: in part, the amount that you will pay will be determined by the dollar amount of the bond that you’re required to purchase.
Applying is easy, and the application can be taken over the phone with one of our agents.
The surety bonds with higher amounts may ask for additional information; however, the bond can in most cases be issued within a few hours or one business day.
As part of the application process, a standard credit check is involved which, along with the bond amount, will be the largest determinant of the premium required.
New York mortgage loan originator companies are required to obtain a surety bond in an amount reflective of the number of mortgage loan originators employed.
The breakdown for the requirements of New York mortgage loan originators company bond amounts are as follows:
As with the individual mortgage loan originator bond, the application can be taken over the phone-- and answer your questions in real-time.
We are easy to speak with and enjoy getting to know our customers!
You may also call us for an application that we can email to you.
Whether you are an individual who requires the MLO surety bond, or a company, the bond’s premium renews annually and is a condition for keeping your licensing active.
We’ll send you reminders well ahead of the premium date for the bond’s renewal.
AmeriPro Surety Bonds is a surety bonds-only agency.
We provide all types of surety bonds, including license and permit, contractor, court, and fiduciary bonds throughout New York state.
We not only work for you to get your MLO surety bond, we also try to find the best premium pricing to meet your circumstances.
AmeriPro Surety Bonds enjoys what we do---and it will come across when you speak with us.
We look forward to helping you with all of your surety bond needs.