Illinois Mortgage Broker Bond

In order to obtain an Illinois residential mortgage broker license, you have to post a surety bond between $25,000 and $150,000. The Illinois Department of Financial and Professional Regulation sets the amount depending on your yearly volume of loans. The licensing is handled via the Nationwide Multistate Licensing System & Registry (NMLS). The bond ensures your compliance with the Illinois Residential Mortgage License Act of 1987.

The bonding that you have to provide as an Illinois mortgage broker is between $25,000 and $150,000, which represents the bond amount. On the basis of this amount, your bond cost is formed.

The actual bonding entails that you only pay a percentage of it called the bond premium. Typically, you can expect rates between 1% and 5%, if your finances are stable.

Your surety bond cost depends on a number of factors relating to your personal and business finances. Your surety needs to assess your personal credit score, business finances, as well as any assets and liquidity in order to measure the level of bonding risk. The lower it is, the less you will pay for getting bonded.

Yes, even though it's harder to get bonded with bad credit, it is still possible with Lance Surety Bonds. We operate our Bad Credit Surety Bonds program for applicants with a low credit score, tax liens, bankruptcies, and civil judgements.

If the bonding risk is higher, you can expect rates to be slightly increased in the range of 5%-10%. Nevertheless, you are guaranteed a top rate with us due to our collaboration with a number of A-rated, T-listed surety bond companies.

The steps to getting your Illinois mortgage broker bond are as follows:

1. Complete the online application form (it takes 5 min)

2. You will receive a free, no-obligation quote

3. If it's a go for you, you can purchase your bond online

4. Receive both a digital and hard copy of your bond

Want to learn more about the bonding process? You can consult our extended How to Get Bonded page.

For more questions, or if you need help with your bond application, just contact us directly at (877) 514-5146.

The goal of the surety bond that you acquire is to guarantee that you will rightfully follow the Illinois law under which you operate as a mortgage broker. If you fail to do so, you can receive a claim against your bond. This is how affected parties can demand a reimbursement.

The surety may cover the costs of paid claims initially, but you will still need to repay it afterward. The maximum compensation you may owe is up to the bond amount you have posted. Thus, the sums can be considerable. Claims are harmful to your business, so the best course of action is to avoid them altogether.