According to the Commonwealth of Massachusetts General Law Title IV, Chapter 255E, a mortgage broker is “any person who for compensation or gain…directly or indirectly negotiates, places, assists in placement, [or] finds… mortgage loans on residential property for others”. The Massachusetts Mortgage Broker Bond ensures that mortgage brokers perform all business in compliance with the Commonwealth of Massachusetts General Law. In case of noncompliance, the bond is in place in favor of the public if harm results and offers financial compensation for valid claims of injury.
The required amount for the Massachusetts Mortgage Broker Bond is $75,000.
The Massachusetts Mortgage Broker Bond remains in full force and effect until cancelled by the Surety. The bond may be cancelled at any time with notification to the Commissioner at least 30 days prior to the cancellation date.
All licensing fees are required by the obligee, not the surety company.