Mortgage Broker Application

Mortgage Brokers sometimes need a bond to protect their clients. They guarantee that the broker will comply with all applicable rules and regulations. If they violate any rules or regulations, a client can make a claim for damages.

Why do You Need One?

In some states, a few bad apples can spoil the bunch, and because there have been bad actors that chose to fraudulently operate as mortgage brokers, many brokers are now required to be bonded to protect their clients. Period. Improper loan approvals are examples of situations where a broker might have to deal with a claim. This is because there is a real possibility of the broker or broker’s officers approving a client for a loan that they know cannot be repaid. If the client cannot repay the loan, and the broker is at fault for carelessly or fraudulently closing the loan, a claim can be filed. Some states require loan originators to secure surety as well.

Claims put Assets at Risk

Because brokers are responsible for paying claims in full, the broker’s assets are at risk. It’s a signed pledge to put up personal and corporate assets in the event of a claim. The best practice a broker should take while conducting business is to act with due diligence at all times, and to not make reckless mistakes that lead to a claim.

Choose an Experienced Company

When you are looking to buy one, it is important to choose a company that is highly experienced and knowledgeable of your industry. When purchasing, your surety company should have a clear understanding of how your assets might be at risk and how to help you avoid unnecessary challenges. Meadowbrook Direct employs a team of experienced and professional surety experts who can walk you through the process of obtaining your bond. Fill out the application online for a speedy turnaround at the most affordable prices.

Mortgage Broker Bond

Please fill out the fields below

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12. If Applicant is a co-partnership, give names and addresses of partners

17. References (Bankers and Merchants preferred)

18. Please complete the following balance sheet, or attach one to your submission.

Drop a file here or click to upload Choose File
Maximum upload size: 16.78MB

Assets

Cash in the following banks

Other Securities (Market Value)

Real Estate in my name

Liabilities

Loans from Banks

Notes Payable (not to banks)

Chattel Mortgages

Mortgages on Real Estate

Sending

If this is the one you need, download and submit the application below. All applicants will receive a response within one business day. Still not sure what type is right for your business? Contact us at (866) 207-5520 or email our team for assistance.

L&P Bond Application PDF
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