Who needs a mortgage broker license in Georgia?
Before applying for a mortgage broker license, you should make sure that the broker license is appropriate for your type of work. There are various licenses for financial professionals in the State of Georgia. Among these are several licenses for mortgage-related business.
Licensing for mortgaging activities is done through the Nationwide Mortgage Licensing System (NMLS). Below are a few of the common types of mortgage licenses in Georgia:
- Mortgage Broker License: This license lets companies accept, solicit, process, or negotiate mortgage loans on behalf of third-party home buyers.
- Check Casher License: This license lets individuals and businesses cash payments for a fee.
- Mortgage Lender License: This license lets people directly or indirectly make, originate, purchase or service mortgage loans.
- Mortgage Loan Originator (MLO) License: This license lets individuals engage in mortgage loan origination activities
Process for getting a Georgia mortgage broker license
Step 1: Register your business
Before you apply for your mortgage broker license, you must register your business with the Georgia Corporations Division of the office of the Secretary of State. You can file all the necessary registration documents online through the SOS website.
If your business is a limited liability company (LLC), partnership, or corporation you will need a Federal Employee Identification Number from the Internal Revenue Service to complete the process.
Step 2: Get a surety bond
The Georgia Department of Banking and Finance requires mortgage brokers to post a Georgia surety bond as part of the licensing process. The bonds help ensure that brokers comply with all regulations and provide financial protection to the state and consumers if they are damaged by the broker’s actions.
The required amount for a Georgia mortgage broker bond is $150,000. You only need to pay a small portion of the bond amount as a premium, typically between 1% and 5%. Before the surety company issues the bond, they will evaluate your experience, credit history, and financial history to determine your exact premium.
Step 3: Become a licensed mortgage loan originator
To get a mortgage broker license, your business must have at least one licensed mortgage loan originator (MLO). This person will have to complete a separate application process to get the MLO license.
The application process is also handled by the NMLS. In addition to providing various documents, applicants must complete a 20-hour pre-license education course and pass a knowledge exam.
Step 4: Submit mortgage broker license application
Once you get your MLO license and surety bond, you can apply for your mortgage broker license. The NMLS application checklist details all the application requirements. When applying you’ll need to provide the following documents:
- Business formation documents
- State background check authorization
- Certificate of Authority (out of state businesses)
- Surety bond form
You can upload these documents online using the NMLS web portal. Your application will also need to include the following fees:
- $400 license and registration fee
- $250 application investigation fee
- $100 NMLS initial processing fee
- $15 credit report fee per control person
- $36.25 FBI criminal background check fee
Georgia mortgage broker license frequently asked questions
How much does a Georgia mortgage broker license cost?
Mortgage brokers in Georgia must pay $801.25 in fees to receive a license. This amount can increase if there is more than one business owner.
Who licenses mortgage brokers in Georgia?
The Georgia Department of Banking and Finance – Non-Depository Financial Institutions (NDFI) Division handles licensing for mortgage brokers in Georgia. They process applications through the Nationwide Mortgage Licensing System.
How EZ Surety Bonds can help with a Georgia mortgage broker license
You now know how to become a licensed mortgage broker in Georgia. When you’re ready to start the licensing process, EZ Surety can offer you a free online quote for your Georgia mortgage broker bond. Apply online today or get in touch today to learn more.