Mortgage brokers who wish to do business in the State of Illinois must have a residential mortgage license issued by the Illinois Department of Financial & Professional Regulation (IDFPR). An important step in acquiring a license is the submitting and maintaining of a $25,000 surety bond with the IDFPR. The bond is reviewed annually by the IDFPR and will be adjusted as necessary by the Director, based upon residential mortgage loans brokered, funded, originated, serviced or purchased during the preceding calendar year.
Below is a list of loan volumes and the bond amounts associated with them:
| Loan Volume | Bond Amount |
|---|---|
| $0 – $5,000,000 | $25,000 Bond |
| $5,000,001 – $20,000,000 | $50,000 Bond |
| $20,000,001 – $50,000,000 | $75,000 Bond |
| $50,000,001 – $100,000,000 | $100,000 Bond |
| Over $100,000,000 | $150,000 Bond |
Illinois Mortgage Broker Bonds protect consumers or anyone transacting business with the principal (broker) and guarantees that the principal complies with all provisions of the Illinois Residential Mortgage License Act of 1987.
These surety bonds are electronically submitted (ESB) to the Nationwide Mortgage Licensing System (NMLS), and additional requirements for Illinois can be found on the NMLS website – Illinois Licensing Requirements Page. Licensing costs are $2,800, including the NMLS processing fee, and are not refundable.
Pacific Surety offers industry low rates and can obtain approvals for almost all credit situations. Once our simple application has been completed, we can have pricing to you within hours. If you have any specific questions, please contact our knowledgeable underwriting staff.