Arkansas Mortgage Broker Bond

Instantly obtain a mortgage broker bond

Colonial Surety is authorized by the Nationwide Multistate Licensing System & Registry (NMLS) to write electronic mortgage broker bonds. If you are not registered with the NMLS, please visit the NMLS website.

What is an Arkansas mortgage broker bond?

A mortgage broker bond is required by the State of Arkansas as a prerequisite for any licensed mortgage broker to legally conduct business.  The bond guarantees that the mortgage broker will operate in accordance with the applicable government rules and regulations.

Who needs this bond?

Mortgage brokers, mortgage lenders, mortgage servicers, and mortgage loan originators are required by State of Arkansas statutes to obtain a bond.

What is the amount of the bond?

All mortgage brokers, bankers, and servicers are required by the State of Arkansas to purchase a minimum $100,000 surety bond. The final surety bond amount will vary for mortgage brokers and bankers versus mortgage servicers.

For mortgage brokers and bankers, the surety bond amount is based upon the aggregate amount of residential loans secured by Arkansas residential real property that the licensee accepted or originated, or both, in the preceding calendar year. A $100,000 bond is required if the aggregate amount was no greater than $10,000,000 during the preceding calendar year. If the aggregate amount was greater than $10,000,000 but less than $25,000,000 during the preceding calendar year, a $150,000 surety bond is required. If the aggregate amount was greater than $25,000,000 during the preceding calendar year, a surety bond in the amount of $200,000 is required.

For mortgage servicers, the surety bond amount is based upon the aggregate amount of mortgage loans secured by Arkansas residential real property held in the mortgage servicer licensee’s portfolio during the preceding calendar year. A $100,000 bond is required if the aggregate amount was no greater than $10,000,000 during the preceding calendar year. If the aggregate amount was greater than $10,000,000 but less than $25,000,000 during the preceding calendar year, a $150,000 surety bond is required. If the aggregate amount was greater than $25,000,000 during the preceding calendar year, a surety bond in the amount of $200,000 is required.

For more information on Arkansas’ mortgage broker requirements, visit the State of Arkansas’ website.

What is the process to obtain the bond?

Colonial offers the direct and digital way to obtain a mortgage broker bond. We are the insurance company — which means no agent, no broker, and no middleman. The steps are easy — get a quote online, fill out your information, and enter your payment method. Your bond will be available instantly. It’s that simple!

What does the bond cost?

A mortgage broker bond is reasonably priced and easy to obtain. You may notice that with other insurance agents and middlemen, your premium rate will fluctuate and include additional hidden fees and costs. Colonial offers our lowest possible rate. Premium is based on the amount of the bond required by the State of Arkansas Securities Department.

Does it matter where I get the bond?

It is important to understand how surety bonds work and who is the insurance company issuing your bonds. It is easy to obtain a mortgage broker bond when you deal directly with a quality insurance company licensed to write surety bonds. Colonial is an A (Excellent) rated insurance company by A.M. Best that has been incorporated since 1930. We are NMLS approved, Treasury listed, and licensed and admitted in all U.S. states and territories.