The Alabama Blue Sky Broker-Dealer Bond starts at $500 plus shipping costs and fees. Fill out the form to buy your bond instantly!
The Alabama Investment Advisor Bond starts at $1000 plus shipping costs and fees. Fill out the form to buy your bond instantly!
The Alabama Sale of Checks Bond starts at $100 plus shipping costs and fees. Fill out the form to buy your bond instantly!
The Alabama Premium Finance Company Bond starts at $350 plus shipping costs and fees. Fill out the form to buy your bond instantly!
The Right of Redemption Bond starts at $100 plus shipping costs and fees. Fill out the form to buy your bond instantly!
The Alabama Mortgage Brokers License Bond starts at $250 plus shipping costs and fees. Fill out the form to buy your bond instantly!
The United States Trustee US Trustee Program Nonprofit Budget and Credit Counseling Agency Bond starts at $100 plus shipping costs and fees. Fill out the form to buy your bond instantly!
Finance and mortgage broker bonds provide a guarantee that licensed finance professionals conduct business in compliance with the regulations set forth in the Alabama Consumer Credit Act, Alabama Mortgage Broker Licensing Act, and Alabama Secure and Fair Enforcement for Mortgage Licensing Act.
If the finance professional fails to comply with the regulations, the surety company issuing the bond will pay out financial losses to damaged parties up to the full bond amount. The finance professional is liable to reimburse the surety for any damages paid under the bond.
The State of Alabama Consumer Credit Act and Mortgage Brokers Licensing Act requires all licensed mortgage brokers to post a surety bond. The required bond amount varies based on the company’s loan volume during the previous year:
Premium Finance companies are required by the State of Alabama Department of Insurance to post a $35,000 surety bond.
Sellers of checks are required by the Alabama Securities Commission to post a surety bond in the amount of $10,000. An additional sum of $5,000 is required for each additional business location the seller has in the state.
The surety company issuing the bond determines your premium rate, which is the percentage of the total bond amount you pay as the premium. Premium rates for Alabama finance and mortgage broker bonds typically cost between 1% and 5% of the total bond amount.
During the application process, the surety company evaluates your personal credit, financial statements, industry experience, and licensing history. Applicants with good credit generally receive the lowest rates, however, bad credit will not prevent you from securing a finance or mortgage broker bond in the State of Alabama. EZSurety still offers competitive rates to individuals with low credit scores or other financial issues.
The State of Alabama State Banking Department requires all individuals and companies that originate or modify mortgage loans to obtain a license to operate in the state. Below is an overview of the steps required to get your mortgage broker license in Alabama:
You’ll know if you need a surety bond because some entity will have required you to obtain one. They must also inform you of which specific bond type you’ll need. There are thousands of bonds across the country, all of which vary by state and industry.
Visit EZSuretyBonds.com to browse hundreds of bonds by state, type, or industry.
