Massachusetts Mortgage Loan Originator Bond

Category: Uncategorized
Published: Jul 1, 2011
HB 4178: License Bonds – Mortgage Loan Originators

Mortgage Loan Originators must be covered under a surety bond in the amount based on the loans originated. Licensees that are the employee or exclusive agent of a person subject to the existing bond requirement may be able to use their employers bond to fulfill this requirement. Mortgage lenders must obtain a bond in the amount no less than $100,000 under current regulations. The amount of the lenders aggregate loans are what regulate the amount of the bond, and it must be capped at $500,000. Under the new law the Commissioner of Banks is authorized to promulgate regulations to implement the bond requirement. This law became effective as of July 31, 2009.

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Victor Lance is the founder and president of Lance Surety Bond Associates, Inc. He began his career as an officer in the U.S. Marine Corps, serving two combat tours. As president of Lance Surety, he now focuses on educating and assisting small businesses throughout the country with various license and bond requirements. Victor graduated from Villanova University with a degree in Business Administration and holds a Masters in Business Administration (MBA) from the University of Michigan's Ross School of Business.