The Indiana Mortgage Lender Bond is a $100,000 surety bond required for companies that originate first lien mortgage loans in Indiana. This bond protects Indiana residents and the state from financial harm caused by violations of mortgage lending laws, ensuring lenders operate ethically and comply with state and feder…
Overview
What it is.
The Indiana Mortgage Lender Bond is a $100,000 surety bond required for companies that originate first lien mortgage loans in Indiana. This bond protects Indiana residents and the state from financial harm caused by violations of mortgage lending laws, ensuring lenders operate ethically and comply with state and feder…
Who usually needs it
Mortgage lending companies (creditors under first lien mortgage lending) operating in Indiana, as well as exempt persons who employ or sponsor licensed mortgage loan originators (MLOs). This bond is required to obtain and maintain a mortgage lender license through the Nationwide Multistate Licensing System (NMLS).
Pricing & timing
What to expect.
Generic pricing
License bonds are required by state and local governments to ensure compliance with industry regulations. Typical Pricing:. • Small bonds (under $25,000): Typically $100–$250 per year (flat fee). • Larger license bonds: Commonly around 1–5% of the bond amount annually. • Credit impact: Good credit: starting around 1–2% · Average credit: typically 2–4% · Credit challenges: often 4–5% or higher. Same-day approval is typical for many common license bonds. Some license bonds may price higher de…
Typical timeframe
Issuance timeframe varies by bond type and underwriting
Application
What to do next.
Tell us the bond name, state, and amount on your form.
Share business and applicant info so the team can quote it.
Sign and pay; we issue the bond and send you the documents.
Keep your effective date and renewal date on file with us.
Start the application.
You are on the exact bond page. The next step is to start the quick application.
StateINBond amount$100,000ObligeeIndiana Department of Financial InstitutionsBond classLicense BondCategoryFinancial ServicesBondIndiana Mortgage Lender BondPlain descriptionThe Indiana Mortgage Lender Bond is a $100,000 surety bond required for companies that originate first lien mortgage loans in Indiana. This bond protects Indiana residents and the state from financial harm caused by vio…Who needs this bondMortgage lending companies (creditors under first lien mortgage lending) operating in Indiana, as well as exempt persons who employ or sponsor licensed mortgage loan originators (MLOs). This bond is required to obtain a…
FAQ
Common questions.
What is the bond amount for an Indiana Mortgage Lender Bond?
The standard bond amount is $100,000. However, the Indiana Department of Financial Institutions (DFI) director may adjust the penal sum based on the dollar volume of mortgage transactions originated by the lender. If the bond amount is reduced by claims, it must be restored to the full required amount within 30 days.
How long does the Indiana Mortgage Lender Bond remain in effect?
The bond must remain effective during the entire period of licensure (or employment/sponsorship for exempt entities) and for 2 years after the license is terminated, unless the DFI director waives this requirement. Surety companies must provide 30 days' notice before terminating the bond.
Where do I file my Indiana Mortgage Lender Bond?
The bond must be filed through the Nationwide Multistate Licensing System (NMLS) to the Indiana Department of Financial Institutions. The bond must be issued by a surety or insurance company authorized to do business in Indiana and rated at least "A-" by a nationally recognized rating service.
