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NMLS Surety Bonds (ESB)

Mortgage Broker

Mortgage broker bonds (NMLS ESB) cover companies that arrange residential mortgage financing without lending their own funds.

NMLS Surety Bonds (ESB)

What is a mortgage broker bond?

Mortgage broker bonds (NMLS ESB) cover companies that arrange residential mortgage financing without lending their own funds. Licensed mortgage brokers in every state that requires an ESB at licensing or renewal. Bond amount typically 10,000 to 150,000 dollars depending on state.

Last verified June 17, 2026

Overview

A mortgage broker bond is a surety bond that NMLS-licensed mortgage brokers post to obtain and keep their state license. It guarantees that the broker will follow state mortgage law and treat borrowers fairly. If the broker violates the rules and causes a loss, a claim can be made against the bond up to its amount.

State regulators set the required bond amount, and it varies by state and sometimes by loan volume. Because the bond guarantees the broker's conduct, underwriting focuses on the owners' credit and the firm's financial standing rather than on insuring a particular risk.

It is a surety bond that protects borrowers and the regulator. When the surety pays a claim, the broker repays it under the indemnity agreement.

Who needs this bond

Licensed mortgage brokers in every state that requires an ESB at licensing or renewal.

Typical amount and term

Bond amount typically 10,000 to 150,000 dollars depending on state. Premium 1 to 3 percent of bond amount.

See Mortgage Broker bond cost details

What this bond costs

Your premium is a small percentage of the bond amount, set by underwriting. The biggest drivers:

  • The state-set bond amount
  • The owners' personal credit
  • The firm's financials and time in business
  • Loan volume in states that scale the bond
ScenarioBond amountEstimated premium
Strong credit$25,000 bondaround 1 to 3 percent per year
Average credit$50,000 bondaround 3 to 5 percent per year
Credit challenges$75,000 bondhigher rate, secured options available

Figures are illustrative premium ranges, not quotes or statutory amounts. Your rate depends on the bond amount your obligee requires and your underwriting profile.

Mortgage Broker bond by the numbers

US jurisdictions we track require a mortgage broker bond
52 of 52US jurisdictions we track require a mortgage broker bondSource: state statutes compiled in the Cornerstone bond cost index, data as of 2026-06-17. Mortgage Broker bond cost index
statutory bond amounts across the 52 states that publish one
$10,000 to $50,000statutory bond amounts across the 52 states that publish oneSource: state statutes compiled in the Cornerstone bond cost index, data as of 2026-06-17. Mortgage Broker bond cost index
median statutory bond amount across those states
$10,000median statutory bond amount across those statesSource: state statutes compiled in the Cornerstone bond cost index, data as of 2026-06-17. Mortgage Broker bond cost index

What you will need

  • NMLS Unique Identifier
  • State list and per-state origination figures
  • Owner credit authorization

How to apply

  1. Send NMLS ID and target states
  2. Receive a per-state quote within one business day
  3. Surety signs the ESB in NMLS for your filing

How a surety bond differs from insurance

A mortgage broker bond protects borrowers and the state, not your firm. It is a surety guarantee of compliant conduct, while errors and omissions insurance covers your own liability for professional mistakes. They serve different purposes and brokers often carry both.

Frequently asked questions

Who needs a mortgage broker bond?

NMLS-licensed mortgage brokers in states that condition the broker license on a posted surety bond, which is most states.

How is the bond amount determined?

The state regulator sets it through NMLS, and amounts vary by state and sometimes by loan volume.

What does the premium depend on?

Mainly the bond amount and the owners' credit. Strong credit earns a low single-digit rate; weaker credit costs more.

Is the bond a one-time cost?

No. The bond is maintained for as long as you hold the license and is renewed each term, with premium due at renewal.

Mortgage Broker bond requirements by state

The figures below are the ones that actually differ from state to state. Everything else about this bond, who needs it, what underwriting looks at, and how it is filed, is the same everywhere and is covered above.

The published renewal fee is $300 to $800 in every state that charges one.

In every state that requires the bond, it renews annually alongside the underlying license.

Mortgage Broker bond amount, requirements, and regulator by state
StateBond amountRegulator
Alabama$10,000Alabama State Banking Department
Alaska$10,000Alaska Division of Banking & Securities
Arizona$10,000Arizona Department of Financial Institutions
Arkansas$10,000Arkansas Securities Department
California$50,000California DFPI
Colorado$10,000Colorado Division of Real Estate
Connecticut$25,000Connecticut Department of Banking
Delaware$10,000Delaware Office of the State Bank Commissioner
District of Columbia$10,000DC Department of Insurance, Securities and Banking
Florida$50,000Florida Office of Financial Regulation
Georgia$10,000Georgia Department of Banking and Finance
Hawaii$10,000Hawaii DCCA
Idaho$10,000Idaho Department of Finance
Illinois$50,000Illinois DFPR
Indiana$10,000Indiana DFI
Iowa$10,000Iowa Division of Banking
Kansas$10,000Kansas OSBC
Kentucky$10,000Kentucky DFI
Louisiana$10,000Louisiana OFI
Maine$10,000Maine Bureau of Consumer Credit Protection
Maryland$10,000Maryland DLLR
Massachusetts$25,000Massachusetts Division of Banks
Michigan$10,000Michigan DIFS
Minnesota$10,000Minnesota Department of Commerce
Mississippi$10,000Mississippi Department of Banking
Missouri$10,000Missouri Division of Finance
Montana$10,000Montana Division of Banking and Financial Institutions
Nebraska$10,000Nebraska Department of Banking and Finance
Nevada$25,000Nevada Division of Mortgage Lending
New Hampshire$10,000New Hampshire Banking Department
New Jersey$10,000New Jersey Department of Banking and Insurance
New Mexico$10,000New Mexico Regulation and Licensing
New York$50,000New York DFS
North Carolina$10,000North Carolina Commissioner of Banks
North Dakota$10,000North Dakota Department of Financial Institutions
Ohio$25,000Ohio Division of Financial Institutions
Oklahoma$10,000Oklahoma Department of Consumer Credit
Oregon$10,000Oregon Division of Financial Regulation
Pennsylvania$10,000Pennsylvania Department of Banking and Securities
Puerto Rico$10,000Puerto Rico OCIF
Rhode Island$10,000Rhode Island Division of Banking
South Carolina$10,000South Carolina Board of Financial Institutions
South Dakota$10,000South Dakota Division of Banking
Tennessee$10,000Tennessee Department of Financial Institutions
Texas$50,000Texas SML (Savings and Mortgage Lending)
Utah$10,000Utah DFI
Vermont$10,000Vermont DFR
Virginia$10,000Virginia Bureau of Financial Institutions
Washington$10,000Washington DFI
West Virginia$10,000West Virginia Division of Financial Institutions
Wisconsin$10,000Wisconsin Department of Financial Institutions
Wyoming$10,000Wyoming Division of Banking

State figures last verified August 3, 2026.

The complete compliance picture

The financial services and lenders stack

Lenders, mortgage originators, and money services businesses carry three layers of compliance at once: the state license that lets them operate, the surety bond a regulator may require to hold the license, and the insurance program that covers the operation. Here is how the three fit together.

Reviewed by the Cornerstone Surety bond team. Last reviewed 2026-06-17. Last verified June 17, 2026.