The Office of the State Bank Commissioner (OSBC) manages and regulates the licensure of mortgage and loan businesses within the State of Kansas.
To qualify for and maintain a license, a surety bond is required by the OSBC—either a Mortgage Company License Bond or a Supervised Loan License Bond.
Jet Insurance Company provides both Mortgage Loan License Bonds to act as a financial assurance to the OSBC that funds are available should the licensee commit a violation that causes monetary damages to a mortgage loan client and/or borrower.
According to the OSBC, required bond limits for the Mortgage Company License Bond range from $50,000 to $125,000 and are based on the total dollar amount of loans transacted by the licensee in their previous year in business, as well as the number of office spaces.
At Jet, prices for surety bonds are a small fraction of the bond’s limit and are based on a soft credit check of the applicant. So if you are seeking a $50,000 Mortgage Company Bond, rates start at $188 for a one-year term or $19 per month.
Additional bond limits and Jet’s preferred tier rates can be found in the following chart.
As for the Supervised Loan License Bond, the limit must be equal to $100,000 plus an additional $25,00 for each additional business space under the license. However, the bond amount should not exceed $300,000 and approval from the OSBC must be obtained.
Jet’s rates for the Supervised Loan Bond are available at $375 for a one-year bond term or just $38 a month. Further bond limit examples and Jet’s starting rates can be found in the price chart below.
The Kansas Office of the State Bank Commissioner utilizes the Nationwide Multistate Licensing System and Registry (NMLS) for the administration of mortgage company and supervised loan business licenses, as well as the filing of surety bonds. So once you purchase the Mortgage or Loan License Bond with Jet, it must then be filed with the NMLS.
Jet can handle filing your bond for you! We just need you to grant us permission to act as your designated surety company with the NMLS (Jet Insurance Company NAIC #16379). If you are unsure how to do this, the NMLS breaks it down within the Electronic Surety Bond for Licensees webpage.
In Kansas, mortgage company and supervised loan business licenses expire on December 31st of each year. To ensure you experience a seamless license renewal with the OSBC, select the renewal button at the bottom of the page for more information (renewal paperwork is due to the OSBC by December 1st annually).
If you are in need of further details on the mortgage industry, licensure processes in multiple states, and applicable surety bond regulations, take a look at Jet’s comprehensive Mortgage License Bonds Guide.