A PENNSYLVANIA MORTGAGE CONSUMER DISCOUNT COMPANY LICENSE is required of a business entity that holds a Consumer Discount Company License and has employees that act as mortgage originators, regardless of the statutory authority under which the Consumer Discount Company is operating. A Pennsylvania Mortgage Consumer Discount Company Bond is required to obtain the license and is a type of surety bond. Employees of the licensee under the Consumer Discount Act that act as mortgage originators are subject to licensing under the Mortgage Act. Mortgage Consumer Discount Companies that employ mortgage originators are subject to the same requirements of mortgage lenders in regard to the employment and supervision of mortgage originators. The application for this license is processed through the Nationwide Mortgage Licensing System (NMLS).
What are the pre-requisites for the license?
- Net worth: minimum of $250,000
- Financial Statements:
- Provide previous fiscal year financial statement (audited or unaudited if certified by executive officer), showing a minimum tangible net worth of $250,000.
- All financial statements must be prepared in accordance with Generally Accepted Accounting Principles.
- Financial statements should include a Balance Sheet, Income Statement and Statement of Cash Flows and all relevant notes.
- If applicant is a start-up company, only an initial Statement of Condition is required.
- Line of Credit, Repurchase Agreement or Equivalent Mortgage Funding Capability of not less than: $1,000,000.
- Credit check for company owners and officers
- Pennsylvania Mortgage Consumer Discount Company Bond: Obtain and maintain a bond in the amount that will provide coverage for the mortgage originators employed by the company based upon total Pennsylvania loan volume.
Anticipated or Actual Loan Originations Bond Amount $29,999,999 or Less $100,000 $30,000,000 – $99,999,999 $200,000 $100,000,000 – $249,999,999 $300,000 $500,000 $250,000,000 or more $500,000
- Criminal background check for company owners and officers.
- Tax Certification: Licensees are required to provide a certified memorandum indicating all tax obligations to the Commonwealth of Pennsylvania have been paid or that a deferred payment
plan with the Pennsylvania Department of Revenue has been made.
How to Obtain a Pennsylvania Mortgage Consumer Discount Company Bond
At Surety1.com we make it as easy as possible to obtain this surety bond.
- Step 1, Complete our easy to navigate and secure online application. 1
- Step 2, one of Surety1’s professional surety bond agents will reach out to you to discuss underwriting information requested by the surety companies or provide a firm quote for the bond.
- Step 3 Review the no obligation quote for the bond.
- Step 4 , sign some paperwork and make payment (All major credit cards accepted).
Once these steps have been completed, the bond will be shipped for the necessary signature. Once signed, the original Pennsylvania Mortgage Consumer Discount Company Bond must be turned into the Pennsylvania Department of Banking and Securities.
1. The name of the applicant on the surety bond application must match exactly the Full legal business name of applicant for the license.
Representing over a dozen surety bond companies, Surety1.com is a service of AssuredPartners one of the largest and fastest growing insurance agencies in the nation. Surety1.com is the premier online provider of surety bonds nationwide since 2003. We also maintain an A+ rating from the Better Business Bureau.
How to Get Your Pennsylvania Mortgage Consumer Discount Company Bond
- Complete an online application. It’s free and no-obligation.
- One of our surety experts will contact you with a firm quote and an agreement to sign.
- Provide payment and your signed agreement, and then you will receive your Surety Bond!
If you have any questions, please call us at 877-654-2327.
Surety1 was founded in 2003 and helps thousands of clients find the best prices on their surety bonds. We take pride in our work so that we can give you great service. Learn more about Surety1.