Mortgage Broker and Consumer Loan Surety Bond Requirements
All Mortgage Broker and Consumer Loan licensees are required to have a surety bond on file. The amount of the bond is determined annual by loan origination volume in Washington. See the tables below for the bonding amounts under both the Mortgage Broker Practices Act (MBPA) and the Consumer Loan Act (CLA).
Mortgage Broker
Licensees:
|
Loan Volume in Millions |
Bond Amount |
| $0-$20 | $20,000 |
| $20-$40 | $40,000 |
| $40+ | $60,000 |
Consumer Loan
Licensees:
| Loan Volume in Millions |
Bond Amount |
| $0-$20 | $30,000 |
| $20-$40 | $50,000 |
| $40-50 | $100,000 |
| $50+ | $150,000 |
Consumer Loan Licensees-Servicers Only:
| Loan Principal in Millions |
Bond Amount |
| $0-$50 | $30,000 |
| $50+ | $50,000 |
How to Determine My Bond Amount
For Current Licensees
To determine the surety bond amount for your company, use the bond calculator below. In order to use the calculator, you need to have your total annual loan origination volume for the prior year. Once the calculation is completed, print the results and include with your increase or decrease bond rider.
For Applicants
| Mortgage Broker Applicants | Consumer Loan Applicants |
| Either prior year’s loan origination volume in Washington or $20,000. | Either prior year’s loan origination volume in Washington or $100,000. |
Surety Bond Forms
Below are new surety bond forms which DFI is using for both Mortgage Broker and Consumer Loan licensees. Both forms require the company’s Washington Unified Business Identification (UBI) number and Unique NMLS number, so be sure to provide those two numbers to your bonding agent.
- Mortgage Broker Surety Bond Form (PDF)*
- Mortgage Broker Surety Bond Form - Business With Independent Contractors (PDF)*
- Consumer Loan Surety Bond Form (PDF)*
- Surety Bond to Operate Residential Loan Servicing Business (PDF)*
Frequently Asked Questions
When can I adjust my bond amount?
Both Mortgage Broker and Consumer Loan licensees may only adjust their bond amount once a year. This must be done in conjunction with filing the company’s annual report. For Consumer Loan licensees, you must determine the correct bond amount and deliver proof of having adequate bonding along with your annual report by March 1st of each year. For Mortgage Broker Licensees, you must determine the correct bond amount and deliver proof of having adequate bonding along with your annual report by March 31st of each year.
How do I increase or decrease my bond amount?
Contact the insurance company which issued your bond. In most cases, they will issue a bond rider which either increases or decreases the amount of your bond. Send the original bond rider to DFI along with your annual report.
Where do I send my increased or decreased bond or bond rider?
Please send the original bond or bond rider directly to DFI at one of the addresses below.
|
For U.S. Postal Service:
Department of Financial Institutions Division of Consumer Services PO Box 41200 Olympia WA 98504-1200 |
For Overnight Delivery:
Department of Financial Institutions Division of Consumer Services 150 Israel Rd SW Tumwater WA 98501 |
* This document is a PDF file, and you will need Adobe Acrobat Reader to view it. If you don't already have Acrobat Reader installed on your computer, you may download it for free from Adobe.
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