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Crystal Ignatowski By Crystal Ignatowski • July 27, 2015

Your Guide To The Wisconsin Mortgage Banker Bond

wisconsin mortgage banker bond

 

A Wisconsin Mortgage Banker Bond is a type of mortgage bond that protects your clients from dishonest or unethical actions performed by you or your company. If you or your company do not live up to your obligations to your client as a mortgage banker, then your client is protected and they will be compensated for any losses incurred.

 

In short, a Wisconsin Mortgage Banker bond holds you responsible for your business decisions. By getting a Wisconsin Mortgage Banker bond, you are telling your clients that you can be trusted as a mortgage banker.

 

Who Needs a Wisconsin Mortgage Banker Bond?

 

If you are a new mortgage banker in the state of Wisconsin, of if you are renewing your license, then you are required get a Wisconsin Mortgage Banker bond for licensure.

 

Any person who does any of the following is required to get their license and bond:

 

  • Originates residential mortgage loans for itself, as a payee on the note evidencing the residential mortgage loan, or for another person

  • Sells residential mortgage loans or interests in residential mortgage loans to another person

  • Services residential mortgage loans or provides escrow services

Exemptions to getting licensed and bonded can be found on the Wisconsin Mortgage Banker License description on the NMLS website.

 

Wisconsin Mortgage Banker Bond Specifics

 

The amount for your Wisconsin Mortgage Banker bond is $300,000.

 

The bond form provided by NMLS must be used, and the bond must be issued by a surety company authorized to do business in the state of Wisconsin.

 

 

Where to get a Wisconsin Mortgage Banker Bond

 

To get your Wisconsin Mortgage Banker bond, you will need to contact a surety bond company who can issue you the bond.

 

Surety Solutions can issue Wisconsin Mortgage Banker bonds. They have relationships with over 30 of the best insurance companies, so you can be sure that you are getting the best rate out there.

 

How Much Will My Wisconsin Mortgage Banker Bond Cost?

 

Though your Wisconsin Mortgage Banker Bond has to be in the amount of $300,000, this is not the amount you have to pay for your bond. Like all surety bonds, mortgage bond premiums (the price you pay for your bond) are calculated based on a percentage of the total bond amount. Generally the rate you will pay is between 1-15%.

 

Want to know what you would pay for your Wisconsin Mortgage Banker Bond? Try the Bond Cost Calculator, a free tool that generates instant quotes for you, no log-in or purchase required.

 

 

Try the Bond Cost Calculator Now!

Have bad credit? We have bad credit options.
Need financing for your bond? We have financing options for bonds. 

 

 

Other Facts To Know

 

Once you have your bond, you can start the mortgage banker licensing application process. When applying for your Wisconsin mortgage banker license, there are many pre-requisites that need to be met before a license can be issued to you. One of these is of course the surety bond. Other requirements include:

 

  • Financial statements: must reflect a minimum of $250,000 net worth; must be accompanied by a written statement by an independent certified public accountant

  • Certificate of authority/good standing: must be dated within 60 days of submitting your application; typically authorized by the Wisconsin Secretary of State office

  • Additional documents: corporate charter or articles of incorporation (if a corporation); articles of organization and operating agreement (if a limited liability company); or partnership agreement (if a partnership of any form)

When you’ve completed all the requirements on the Wisconsin Mortgage Banker checklist, you can submit your application. A regulator will review your application and all required documents and communicate with you through NMLS on your approval status.

 

Who To Contact For Questions?

 

For licensing questions, contact the Wisconsin Division of Banking licensing staff:

608-261-7578 | DFIMortgageBanking@Wisconsin.gov

 

For surety bond questions contact Surety Solutions:

866-722-9239info@suretysolutionsllc.com

 

Related Links:

What Is A Mortgage Bond?

Everything You Need To Get Your Wisconsin Mortgage Broker License and Bond

Your Guide To The SAFE Mortgage Licensing Act