West Virginia Mortgage Broker Bond Requirements
If you want to obtain a West Virginia mortgage broker license, you need to get a mortgage broker bond.
The West Virginia Division of Financial Institutions oversees the activities of mortgage brokers in the state. It sets the licensing criteria, but the procedure is handled via the Nationwide Mortgage Licensing System (NMLS) website.
Why Do I Need This Bond?
If you want to operate as a West Virginia mortgage broker, you need a surety bond. It guarantees you will follow all relevant laws, including the West Virginia Safe Mortgage Licensing Act.
The mortgage broker bond works as a safety net for your customers in case you transgress from the law. They can seek fair reimbursement through a bond claim up to the penal sum of your bond.
For further details about the way bonding works, consult our in-depth ‘What is a surety bond’ guide.
Have more questions? You can speak with our bonding experts by calling us at 866.450.3412.
What Is the West Virginia Mortgage Broker Bond Cost?
Your surety bond cost is a small percentage of the amount required by the Division of Financial Institutions. It is called your bond premium.
The bond amount that you have to post depends on your annual loan origination volume:
- Up to $3 million - $50,000
- Between $3 million and $10 million - $75,000
- More than $10 million - $100,000
- Table-funded lenders - $150,000
You have to provide the bond in the official form.
Factors Determining Your Bond Premium
The most important factor that influences your premium is your credit score. If your FICO score is above 700, you can get rates as low as 0.75%-1.5% of the required amount.
Your West Virginia mortgage broker bond cost also depends on your:
- Personal and business finances
- Fixed and liquid assets
- Mortgage professional experience
For an estimate of your bond cost by credit score, you can consult the table below.
|Mortgage Broker Bond Cost By Credit Score In West Virginia|
|Loan origination volume||Bond Amount||Bond Cost By Credit Score|
|Above 700||650-699||600-649||Below 599|
|Up to $3 million||$50,000||$375-$750||$500-$1,500||$750-$2,000||$1,500-$3,500|
|Between $3 million and $10 million||$75,000||$563-$1,125||$750-$2,250||$1,125-$3,000||$2,250-$5,250|
|More than $10 million||$100,000||$750-$1,500||$1,000-$3,000||$1,500-$4,000||$3,000-$7,000|
How to Apply For a Bond
Ready to obtain your mortgage broker bond? Click on the banner below to get a free quote. You can then purchase your bond online.
Need more information about the West Virginia mortgage broker bond? You can contact us at 866.450.3412.