The Texas Department of Savings and Mortgage Lending must receive a Mortgage Loan Servicer Bond from an applicant seeking to register as a servicer. The bond is used to protect the public from financial damages caused by servicers breaking the rules of their registration.
You can purchase your Mortgage Loan Servicer Bond with Jet’s monthly payment plan or choose from an annual or multi-year term.
You can purchase your Mortgage Loan Servicer Bond for as low as $25 a month or $250 a year. Rates are dependent on the bond limit and a soft credit check. The chart below shows what a preferred credit applicant would be approved for.
The limit for the Mortgage Loan Servicer is based on the volume of business the servicer tends to:
The Department established a bond requirement for mortgage loan servicers as a way to guarantee that the servicer will not dupe the people of Texas or the Department of Savings and Mortgage Lending and withhold money that is owed. If a violation of the Texas Residential Mortgage Loan Servicers Act (Chapter 158 of the Texas Finance Code) occurs and the servicer does not provide compensation for damages as ordered by the Commissioner of the Department, the injured party can file a claim on the bond.
It’s easy to apply for your Residential Mortgage Loan Servicer Bond! Jet has simplified the application process and only asks for the information that is needed. Of course, since a soft credit check is required, this includes a social security number.
Once you have finished filling everything out, you will receive a quote that is ready to purchase. Simply choose whether to pay monthly or by the year and submit payment information to complete your bond purchase.
Yes; once your payment has been processed, Jet will prepare your Mortgage Loan Servicer Bond and mail it directly to the Department. If you need to file the bond yourself, perhaps with other paperwork, you can choose to have the bond sent to you when you are fulfilling payment. The bond must be mailed to the address below:
Texas Department of Savings and Mortgage Lending
Division of Licensing
2601 N Lamar, Suite 201
Austin, TX 78705
Yes, you can request to cancel your Mortgage Loan Servicer Bond by emailing Jet at [email protected]. We will notify the Department of Savings and Mortgage Lending and the 60-day cancellation period will begin. For monthly payment plan subscribers, payments will continue until the cancellation is complete; at that time, your payment information will be removed. For those who paid for a full year, any time left after the cancellation is finalized will be calculated into a refund.
The Residential Mortgage Loan Servicer Bond expires on the last day of the year (December 31st). You will need to renew the bond each year along with your registration as a servicer. Jet will send you a notice via mail and email. All you need to do is fill out the notice and submit payment for the new term to renew your bond.
To keep claims from being filed against your Mortgage Loan Servicer Bond, you must follow the obligations in the Residential Mortgage Loan Servicer Act. If you violate the Act, you may be ordered to pay for the damages incurred. You are responsible for paying restitution for your actions and failing to do so would lead to a bond claim. Simply put, the best way to avoid claims is to comply with the regulations given and, if there is a violation that causes monetary loss, own up to it.
The full complaint procedure can be found in Subchapter C of the Act, summarized below:
If the bond is used to pay out a claim, the Department will require a new bond to be filed.