South Carolina Mortgage Lender, Servicer, and Broker Bonds

South Carolina Mortgage Lender, Servicer, and Broker Bonds

The Board of Financial Institutions and the Department of Consumer Affairs manage the licensure of mortgage lenders, mortgage servicers, and mortgage brokers within the State of South Carolina. 

To qualify for and maintain a mortgage license, a surety bond may be required by the appropriate government agency—either a Mortgage Lender/Servicer Bond or a Mortgage Broker Bond. Occasionally these bonds are referred to as Mortgage Special Deposit Bonds, but we’re going to stick with what they're well known by in this article. 

QUOTE

Jet Insurance Company provides the South Carolina Mortgage Bonds listed above to act as a financial assurance that the mortgage professional will abide by the regulations of their license. If the licensee commits a violation that causes financial damages, funds from the bond may be used as a means of restitution for the claimant. 

What Is the Lowest Price for a Mortgage Lender, Servicer, or Broker Bond?

According to the Board of Financial Institutions, the Mortgage Lender/Servicer Bond limit is based on the dollar volume of mortgage loans originated or serviced by the licensee. 

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 qualify for the minimum required limit of $50,000 for a Mortgage Lender/Servicer Bond, Jet’s rates start at $188 for a one-year term or $19 a month. 

Take a look at the price chart below for further information. 

Dollar Volume of Mortgage LoansBond LimitMonthly1-Year
$0 to $49,999,999$50,000$19$188
$50,000,000 to $249,999,999$100,000$38$375
$250,000,000 and greater$150,000$56$563
SC Mortgage Lender/Servicer Bond Pricing

As for the Mortgage Broker Bond, the Department of Consumer Affairs bases the limit on the dollar volume of mortgage loans conducted by the broker. Let’s say you only need a $25,000 Mortgage Broker Bond, rates are available at just $94 for a one-year term or an affordable $9 a month.

Additional details on how to determine your limit and Jet’s preferred tier rates can be found in the following price chart. 

Dollar Volume of Mortgage LoansBond LimitMonthly1-Year
$0 to $49,999,999$25,000$9$94
$50,000,000 to $99,999,999$40,000$15$150
$100,000,000 or greater$55,000$21$206
SC Mortgage Broker Bond Pricing

Details on South Carolina Mortgage Lender, Servicer, and Broker Bonds

Both the South Carolina Board of Financial Institutions, Consumer Finance Division and the South Carolina Department of Consumer Affairs utilizes the Nationwide Multistate Licensing System and Registry (NMLS) for the administration of mortgage licenses, as well as the filing of surety bonds. So once you purchase the appropriate Mortgage License Bond Jet, it must 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 South Carolina, the renewal period for mortgage licenses is between November 1st and December 31st of each year. To ensure you experience a seamless license renewal application process, select the renewal button at the bottom of the page for more information. 

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.

How to Renew My Bond

For annually-purchased bonds, see Jet’s process to renew your bond. Hint- it’s simple.

How to Cancel My Bond

See the details surrounding cancelling your bond (a 45-day cancellation period applies).

Bond Claim Process

Mortgage professionals need to be aware of what causes a claim and what happens after a claim is made.

South Carolina Mortgage Broker Bond Form

Notary Bond Application:

X

Business Information:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Employee Dishonesty Bond Application:

Business Information:

Business Description:

Coverage Requirements:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Contract Bond Application:

X

Business Information:

Owner Information:

Job Details:

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information:

Worker's Compensation Application:

X

Business Information:

Business Description:

Coverage Requirements

Indemnity Agreement:

I, the undersigned, hereby apply for a Dishonesty Bond also known as a Business Service Bond or Janitorial Service Bond (“bond”) to the Surety Company (“SURETY”) through Jet Insurance Company (“JET”), with whom I hereby grant the authority to act on my behalf with respect to the bond and assign as my Broker of Record, and declare that the statements herein are true and correct. In consideration of the SURETY issuing, renewing or substituting said bond(s), I, individually and as the owner or officer of the bonded entity, hereby understand and agree, as follows: (i) to reimburse, hold harmless, and indemnify SURETY upon demand for all loss, liability, claim, expense, including but not limited to attorneys’ fees, expert’s fees, investigative fees and claims handling fees, and any other cost which SURETY shall pay or incur in defense, adjustment, or settlement of such claims/suits by reason of such suretyship; (ii) that an itemized statement of loss and expenses by SURETY shall be indisputable proof of my liability to SURETY; (iii) coverage is subject to a $100 deductible; (iv) the employee must be convicted before coverage will apply (v) performance and any form of dispute resolution of this agreement shall take place in the county of SURETY's office of service; and (vi) a facsimile copy or electronically signed version of this agreement shall be binding as if it were an original. This agreement shall survive any changes in, substitute to or renewal of the bond(s).

Required Effect Date of Bond Policy:

Contact Information: