What is a Mortgage Lender Bond?
Mortgage Lenders and Bankers are defined as any person or company who is compensated to originate, sell or services mortgages. Specifically, mortgage lenders loan money to the borrower at the closing table. In addition to being licensed, mortgage bankers must also get a surety bond in order to guarantee compliance with state regulations governing this line of business. Mortgage Lender Bonds protect consumers that are working with lenders to obtain a mortgage for their home. Lance Surety has a variety of bond programs created to get all types of Mortgage Lenders approved at excellent rates.
Also known as Mortgage Banker, Finance Lender, Licensed Lender, and Mortgage Loan Company Bonds.
Questions about Mortgage Lender Bonds in Illinois
How much does a Mortgage Lender Bond cost?
These bonds are paid for on annual basis. In most cases, bond costs are determined based solely on owner credit. Mortgage Bankers with excellent personal credit may be eligible for standard market rates, which range from 1% to 3% of the total bond amount. If the owner has poor credit, annual premium typically ranges between 5% to 10% of the bond amount. In most states, we can approve higher risk applicants at no higher than 7.5%.
If I’m a Mortgage Banker with bad credit, can I become bonded?
Yes. While many surety companies only offer quotes to customers with excellent credit, Lance Surety has a number of exclusive Mortgage Broker Bond programs that allow us to approve just about anyone. One of the only exceptions would be if you have an open bankruptcy or past due child support.
What you pay per year will depend on your personal credit, but regardless of your score Lance Surety is able to offer very aggressive rates to mortgage lenders.
If I have bad credit, how can I lower my rate?
While our agency offers instant quotes based on owner personal credit, it is possible to lower the cost of your Mortgage Broker Bond by providing additional information. For example, if you have strong liquid assets and can provide cash verification, that could be used to strengthen your application. Strong business and personal financial statements can also be considered in determining your rate.
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What Our Clients Have To Say?
Kimberlee AblesQuick response times and turn around for issuing bonds. Great customer service and very knowledgeable. We have used Lance Surety multiple times and have never been disappointed. Highly recommend them and Collette!
Andrew PoincotLong story short, these guys cut through the B.S. and get the job done. Responsiveness, excellent! Communication, excellent! Respect for their industry partners, excellent! John, Collette, Ryan, you're all-stars! Thank you!
Margie MartinezWe decided for Lance Surety Bond's quote for 2 reasons; Price and Customer Service. Our Representative Ryan was just SUPERB!! [...] I highly recommend Lance Surety Bond for all your Bonding needs! I'll definitely come back for all of mine. :-) Thanks Ryan!