Texas Mortgage Loan Originator Bond

Mortgage loan originators must abide by a new law in the state of Texas. The new law is named SB 17 and requires residential mortgage loan servicers/mortgage loan originators to register with the state; in order to do so they must obtain a surety bond of no more than $200,000. Should the servicer’s volume of sales be less than $1 million per year, then the bond amount is capped at $25,000. In the past Texas mortgage loan originators were not required to obtain surety bonds.