The Virginia Mortgage Loan Originator Bond is required by the Commonwealth of Virginia State Corporation Commission’s Bureau of Financial Institutions. It is a type of surety bond and is required for an loan originator license. This license is required for an individual who takes an application for or offers or negotiates the terms of a residential mortgage loan that is secured by real property located in the Commonwealth of Virginia. While the State of Virginia requires the license, it is administered by the Nationwide Mortgage Licensing System (NMLS).
Note that the Virginia Mortgage Loan Originator Bond is only required of individuals who are required to be licensed as mortgage loan originators, but are not employees or
exclusive agents of either persons licensed or exempt from licensing under Chapter 16 of Title 6.2 of the Code of Virginia (e.g. individuals who originate loans secured by dwellings unattached to land in Virginia)
The surety bond ensures that the principle will abide by all Virginia state laws and regulations along with the provisions of Chapter 16 and/or Chapter 17 of Title 6.2 of the Code of Virginia. Only applicable to individuals who are required to be licensed as mortgage loan originators, but are themselves not employees or exclusive agents of either persons licensed or exempt from licensing under Chapter 16 of Title 6.2 of the Code of Virginia.
The required bond amount depends on the applicant’s loan volume from the previous calendar year:
- A loan volume of $0 – $5,000,000 requires a $25,000 surety bond.
- A loan volume of $5,000,001 – $20,000,000 requires a $50,000 surety bond.
- A loan volume of $20,000,001 – $50,000,000 requires a $75,000 surety bond.
- A loan volume of $50,000,001 – $100,000,000 requires a $100,000 surety bond.
- A loan volume over $100,000,000 requires a $150,000 surety bond.
The price for the 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.
Licensing Fees and Requirements:
- Virginia Mortgage Loan Originator Bond
- Pre-licensing educational course through NMLS
- Nation state mortgage test passing score
- Background check and fingerprinting
- Fees according to fee schedule
All licensing fees are required by the obligee, not the surety company.
How to obtain a Virginia Mortgage Loan Originator Bond
At Surety1.com we make it easy to obtain this surety bond. Our simple 3 step process is:
- Complete our easy to navigate and secure online application.1
- Review your free, no obligation quote from one of our surety bond professional agents, usually within one business day.
- Sign some paperwork and make payment.
Once these steps have been completed, the Virginia Mortgage Loan Originator Bond will be shipped. the bond must be signed by the licensee and shipped to the Virginia
Bureau of Financial Institutions.
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.