The Tennessee Mortgage License Bond is required by the Department of Financial Institutions. It is a type of surety bond and is required to obtain a license in the mortgage industry in the state. While the TDFI requires the license and bond, the application process and license administration is managed by the Nationwide Mortgage Licensing System (NMLS). Any person or company acting as a mortgage lender, mortgage loan broker or mortgage loan servicer, or any combination thereof, in Tennessee must first obtain a license under the Tennessee Residential Lending, Brokerage and Servicing Act, Tenn. Code Ann. §§ 45-13-101,et seq., unless excepted pursuant to Tenn. Code Ann. § 45-13-201.
“Mortgage lender” is defined at Tenn. Code Ann. § 45-13-105(14) to mean any person who makes a residential mortgage loan or holds the person out as able to make a residential mortgage loan.
“Mortgage loan broker” is defined at Tenn. Code Ann. § 45-13-105(15) to mean any person who for compensation or other gain, paid directly or indirectly, or in expectation of compensation or other gain, solicits, places, negotiates or originates a residential mortgage loan for another person or offers to solicit, place negotiate or originate a residential mortgage loan for another person or who closes a residential mortgage loan that may be in the mortgage loan broker’s own name with funds provided by another person and which loan is thereafter assigned to the person providing the funding of the loan, regardless of whether the acts are done directly or indirectly, through contact by telephone, by electronic means, by mail or in person with the borrower or borrowers or potential borrower or borrowers.
“Mortgage loan servicer” is defined at Tenn. Code Ann. § 45-13-105(17) to mean any person who, in the regular course of business, assumes responsibility for servicing and accepting payments for a residential mortgage loan.
The price for the Tennessee Mortgage License Bond, also known as the bond premium, is only a small fraction of the bond amount. The applicant should verify the bond amount with the obligee before applying for the bond to ensure the bond amount is correct.
All licensing fees are required by the obligee, not the surety company. The NMLS has published a check list for the license which can be accessed here.
At Surety1.com we make it easy to obtain all the surety bonds one may need. Our simple 3 step process is as follows:
Once these steps have been completed, the Tennessee Mortgage License Bond will be filed electronically by Surety1.com directly with the NMLS.
1- The name of the applicant on the surety bond application must match exactly the full legal business name of applicant for the license.
Surety1.com is a service of AssuredPartners one of the largest and fastest growing insurance agencies in the nation. Representing over a dozen surety bond companies, Surety1.com is the premier online provider of surety bonds nationwide since 2003. We also maintain an A+ rating from the Better Business Bureau.