How much does a Nevada mortgage banker bond cost?
A Nevada mortgage banker bond typically costs between 1-3% of the bond amount for highly qualified applicants, while applicants who are considered less qualified will pay slightly more for their bond. Mortgage banker bonds are subject to underwriting, meaning your application must be reviewed before you can receive a quote. The price you will pay for your bond is also determined by the amount of the bond you need. Mortgage bankers with an annual loan production of $20,000,000 or less need a $50,000 bond, and applicants whose annual loan production exceeds $20,000,000 will need a $75,000 bond.
Nevada mortgage brokers are also required to have a surety bond. Visit our mortgage broker bond page for more information.
Why are mortgage bankers bonded?
Mortgage bankers are bonded because it is a licensing requirement established by Nevada Revised Statutes 645E. As is the case with many license and permit bonds, mortgage bankers are required to be bonded as a means of protecting both the state and clients of the mortgage banker from financial loss resulting from the banker’s failure to abide by all applicable rules set forth in Chapter 645E.
How long are mortgage banker bonds good for?
Mortgage banker bonds are good for twelve months, at which point they must be renewed by the licensee. The license may be canceled by the obligee if the surety bond is not renewed on time. If a license is canceled, the mortgage banker may have to restart the licensing process.
Can mortgage banker bonds be canceled?
Mortgage banker bonds can be canceled by the surety at any point during the term. However, the surety company must electronically notify the obligee via the NMLS at least 60 days prior to the date the cancellation is to become effective.
How to get a Nevada mortgage banker license
To get a Nevada mortgage banker license, a completed application form MU-1 or MU-3 and all accompanying documents must be uploaded to the Nationwide Multistate Licensing System and Registry (NMLS). Additional requirements to be considered for a mortgage banker license include meeting a minimum net worth requirement, getting a surety bond, submitting to a criminal background check and a credit check, having at least 2 years of experience, establishing a qualified employee, and setting up an in-state office.