Texas Mortgage Broker Bond | AmeriPro Surety Bonds | 844-589-9732
also: Texas mortgage lender bond and Texas mortgage servicer bond
Texas Mortgage Brokers
Texas mortgage brokers are required to be licensed by the state.
Much of the licensing process takes place under NMLS which allows for many licensing types to be filed electronically on a nationwide scale.
In Texas, the mortgage broker license comes under the authority of Texas Department of Saving and Mortgage Lending Commissioner.
The Department also requires licensed mortgage brokers to maintain a surety bond.
Texas Mortgage Broker Bond: Purpose of this Bond
For licensees, the purpose of the Texas mortgage broker bond is to protect consumers from acts of criminal wrongdoing, fraud, or theft committed by a mortgage broker company, its employees, or any officers, in the course of their duties as a mortgage broker.
But since this is a mortgage broker bond, the bond more specifically acts as a financial guarantee against these specific illegal activities;
- Discrimination in mortgage lending;
- Enticing customers to breach a mortgage contract;
- False advertising;
- Misappropriation of funds collected from customers
- Charging erroneous fees to customers using deceptive business practices.
And, to be sure, this list is not necessarily all-encompassing.
Texas Mortgage Broker Bond: Amount
The Texas mortgage broker bond is in the amount of $50,000.
Applicants for the bond, of course, will not pay anywhere near that amount.
Texas Mortgage Broker Bond: Duration
Since the Texas mortgage broker license is issued for a period of two years, and thereafter must be renewed with the Department through NMLS, the surety bond is likewise issued for a period of up to 2 years.
Applicants for this surety bond, however, have the following choices:
- They may pay for one year, and thereafter renew the Texas mortgage broker bond after one year;
- Or they may prepay the bond for two years, and renew the bond at the same the mortgage license is renewed.
Texas Mortgage Broker Bond: The Cost
The cost of the Texas mortgage bond will depend on the the following factors:
- Whether the bond is purchased for one or two years;
- The applicant’s credit score.
A one year $50,000 mortgage broker bond may cost as little as $500 for the year.
The same bond, prepaid for two years, may cost as little as $1000.00.
The amount an individual applicant will pay, however, will depend on the applicant’s credit score.
AmeriPro Surety Bonds is able to get all credit ranges approved for this surety bond; however, those with lower credit scores should possibly prepare to pay substantially more.
About AmeriPro Surety Bonds:
AmeriPro Surety Bonds is a surety bonds-only agency providing license and permit, contractor, court, and fiduciary surety bonds throughout Texas.
We also provide surety bonds nationwide.
Please call our agency for the bond you require today.