Missouri Mortgage Broker Bond

The Missouri Division of Finance is the authority on mortgage broker licensing. One of the licensing requirements is a surety bond of $50,000 to $250,000, which may also be referred to as a Missouri residential mortgage loan broker license bond.

This surety bond is an agreement between three parties: 

• Principal: The mortgage broker that needs to get the bond.
• Obligee: Entity requiring the principal to get bonded.
• Surety: The company that issues the bond.

Under Missouri Statutes Chapter 443, mortgage brokers are required to uphold ethical standards, such as by avoiding engaging in fraudulent activities. Those financially impacted by unethical behavior can file a claim against the mortgage broker’s surety bond. 

If the claim is valid, the surety compensates the claimant. The mortgage broker is responsible for reimbursing the surety for the total amount paid. In addition, the state requires a new bond to be provided after a claim is processed through the previous surety bond.

The cost of a Missouri mortgage broker bond is between $500 and $25,000. The bond amount required varies based on brokered loan amounts. The required amounts range from $50,000 to $250,000. The bond rate usually varies between 1% and 10%, which dictates the bond premium or total cost. 

Use this chart to estimate your bond cost:

Both new and returning customers share an important question. They want to know how much a bond costs. Your credit score plays a significant role in bond cost. In addition, your past bond history, finances and industry experience are reviewed.

1. Apply For Your Bond

Obtaining a Missouri mortgage broker bond is easy to do with our fast, hassle-free process. Our clients enjoy choosing between two convenient application methods.  

1.  Apply for a bond online – Our online bond application is available around the clock, and our customers often complete it within a few minutes. Once you submit the application online, you will receive a free quote immediately by email. 
2. Call us at (888)-592-6631 – An alternative is to apply for a Missouri mortgage broker bond over the phone. When you call our bond experts, we will answer your questions and gather your application information.  

When applying, you will need:

• Bond name (Residential Mortgage Loan Broker License Bond)
• Bond amount ($50,000 to $250,000, depending on loan volume)
• Email and contact information

2. Get a Quote

After applying for your new surety bond, you will receive a fast quote from us. We are always happy to answer your questions and help you understand your quote. 

3. Purchase Your Bond

When you are ready to finalize your purchase, review the bond documents online for accuracy. Please reach out to us if you notice an error. After you have signed the documents and paid the invoice, the original bond will be sent to your email inbox.

The Missouri Division of Finance enforces the requirements for a Missouri mortgage broker bond. This bond must be submitted when applying for a mortgage broker license, which is required for anyone engaged in brokering, funding, servicing, or purchasing residential mortgage loans in Missouri. The bond must be submitted electronically through the Nationwide Multistate Licensing System (NMLS).

If you have any questions regarding who needs a mortgage broker bond, the required bond amount, etc., please contact us. 

One of our new clients contacted us to purchase a replacement bond after a claim was made against his pre-existing bond. He was unsure about the bond amount required. Our friendly bond experts helped him determine the right amount and assisted with his bond application.  

The licensing process for Missouri mortgage brokers is through the Nationwide Mortgage License System. To apply, you must submit: 

• Company new license form
• Surety bond
• A Missouri business location
• Formation documents
• FBI criminal background check
• Credit report
• Ownership and management chart
• Bank account

Nationwide Mortgage Licensing System. (n.d.). Checklist compiler.
https://mortgage.nationwidelicensingsystem.org/slr/SitePages/Checklist-Compiler.aspx

Missouri Division of Finance. (n.d.). Home.
https://finance.mo.gov/

Missouri Revisor of Statutes. (n.d.). Chapter 443: Mortgage brokers and loan originators.
https://revisor.mo.gov/main/OneChapter.aspx?chapter=443

Missouri Division of Finance. (n.d.). Mortgage broker new bond form [PDF].
https://finance.mo.gov/mortgage/docs/NewBondForm.pdf