HB 4178 is a new bill that was enacted in Massachusetts relating to mortgage loan originators. The new bill requires mortgage loan originators to be covered under a surety bond in a quantity calculated by the loans originated. The licensees that are a member of staff or exclusive agent of an individual subject to the existing bond stipulations for mortgage brokers or lenders have the option to use the employer’s bond to satisfy this requirement as long as the bond supplies coverage to the originator while it is calculated by the employer’s loan originations. The present law does not have a surety bond requirement for mortgage brokers. All mortgage lenders must acquire a surety bond in a quantity no less than $100,000 under current policy. The surety bond amount will be determined by the lender’s aggregate loans. The surety bond is restricted to $500,000. HB 4178 allows the Commissioner of Banks to promulgate policy to apply the surety bond requirement.