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M. BURR KEIM AGENCY · License & Permit Surety Bonds · Reviewed November 2026

Mortgage Lender, Banker and Servicer Bond

A mortgage lender, banker, or servicer bond is a surety bond required by many states before a mortgage lending or servicing entity can be licensed. It gives the state and borrowers a way to recover certain losses caused by a licensee’s failure to follow mortgage laws.

Apply for This Bond Online How to Apply Questions

At a glance

Product
Mortgage Lender, Banker and Servicer Bond
Category
License & Permit Surety Bonds
Required amount
State mortgage laws set the amount, and many states require $50,000 to $100,000 or more depending on the license type and volume. Some states use a schedule based on loan volume, servicing volume, or the number of locations. Confirm the exact amount and obligee with the state mortgage regulator.
Online issue
Instant issue up to $100,000 with acceptable credit. If the state requires a specialized mortgage bond form or the applicant’s credit falls outside the instant-issue guidelines, the application may need underwriting review.
Term
Mortgage lender and servicer bonds are usually written for a one-year term and renewed with the license. Some states require a bond that runs for the full license period or a continuous term. Follow the state mortgage regulator’s instructions.

Who needs a mortgage Lender, Banker and Servicer Bond?

  • Mortgage lenders, mortgage bankers, and mortgage servicers applying for a state license that requires a surety bond.
  • Companies adding a new state lending or servicing license or renewing an existing license.
  • Compliance officers confirming the bond amount and obligee required by a state mortgage regulator.

Why is a mortgage Lender, Banker and Servicer Bond required?

States license mortgage lenders and servicers to protect borrowers and enforce mortgage laws. The bond gives borrowers and the state a recovery source when a licensee violates the licensing law, mishandles escrow or other funds, or fails to meet other covered obligations.

The bond is required as a condition of licensure and does not replace errors and omissions insurance, a fidelity bond, or the company’s own compliance and escrow controls.

How much bond do I need?

State mortgage laws set the amount, and many states require $50,000 to $100,000 or more depending on the license type and volume. Some states use a schedule based on loan volume, servicing volume, or the number of locations. Confirm the exact amount and obligee with the state mortgage regulator.

Instant issue up to $100,000 with acceptable credit. If the state requires a specialized mortgage bond form or the applicant’s credit falls outside the instant-issue guidelines, the application may need underwriting review.

Bond amount is not the premium. The required amount is the maximum the surety could pay under the bond. The premium you pay is a separate charge based on the bond amount, the risk, the term, and your credit. The online application shows the premium before you bind coverage.

How much does a mortgage Lender, Banker and Servicer Bond cost?

Premium depends on the bond amount, the state, the license term, and the applicant’s credit. Mortgage lender and servicer bonds are typically priced as a small percentage of the bond amount. Apply online for the current premium.

How to apply online

  1. Confirm the bond amount and obligee. Use the amount and legal name of the agency, court, client, or government entity that requires the bond. The obligee name must match the requiring party’s records.
  2. Gather the application information. Have the legal business or entity name, address, license or case number, ownership information, and the required bond amount ready.
  3. Start the CNA Surety application. Use the online application link on this page. The link includes the M. BURR KEIM AGENCY app code and agency code, so the application is routed to our agency.
  4. Pay the premium and bind coverage. If the bond is eligible for instant issue, the application will show the premium and let you complete the purchase online. Otherwise, the surety will review the application and contact you if additional information is needed.
  5. File the bond. Provide the issued bond to the agency, court, client, or government entity that requires it, and keep a copy for your records.
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Mortgage Lender, Banker and Servicer Bond term and renewal

Mortgage lender and servicer bonds are usually written for a one-year term and renewed with the license. Some states require a bond that runs for the full license period or a continuous term. Follow the state mortgage regulator’s instructions.

Good to know

  • Lender, banker, and servicer licenses can be separate license categories with different bond requirements. Confirm the correct category with the state regulator before applying.
  • If you are licensed in multiple states, confirm whether each state requires a separate bond or accepts a single bond with multiple obligees.

Mortgage Lender, Banker and Servicer Bond questions

A mortgage lender, banker, or servicer bond is a surety bond required by many states before a mortgage lending or servicing entity can be licensed. It gives the state and borrowers a way to recover certain losses caused by a licensee’s failure to follow mortgage laws.

Mortgage lenders, mortgage bankers, and mortgage servicers applying for a state license that requires a surety bond. Companies adding a new state lending or servicing license or renewing an existing license. Compliance officers confirming the bond amount and obligee required by a state mortgage regulator.

Premium depends on the bond amount, the state, the license term, and the applicant’s credit. Mortgage lender and servicer bonds are typically priced as a small percentage of the bond amount. Apply online for the current premium.

State mortgage laws set the amount, and many states require $50,000 to $100,000 or more depending on the license type and volume. Some states use a schedule based on loan volume, servicing volume, or the number of locations. Confirm the exact amount and obligee with the state mortgage regulator. Instant issue up to $100,000 with acceptable credit. If the state requires a specialized mortgage bond form or the applicant’s credit falls outside the instant-issue guidelines, the application may need underwriting review.

Apply online through CNA Surety using the application link on this page. The link includes the M. BURR KEIM AGENCY app code and agency code, so the application is routed to our agency. Complete the application, pay the premium online if the bond is eligible for instant issue, and then file the bond with the agency, court, or client that requires it.

They are often separate license categories with different bond amounts and forms. A lender funds loans, a broker arranges loans, and a servicer handles loan administration. The state mortgage regulator sets the bond requirement for each license type.

The premium is based on the bond amount, the state, the license term, and the applicant’s credit. It is usually a small percentage of the bond amount. Apply online for the current premium and to confirm instant-issue eligibility.

Online application and important note

Bond requirements, forms, amounts, and fees are set by the requiring agency, court, or carrier and can change. This page is general information, not legal advice. Confirm the current requirement with the agency, court, client, or your attorney before applying. M. BURR KEIM AGENCY is an insurance and surety bond agency; the bond or policy is issued by the carrier named on the document.