MI 1st mortgage broker bonds.
0.6% of the bond amount.

A Michigan 1st Mortgage Broker license lets you arrange first-lien mortgage loans for others without lending your own funds — and MCL 445.1654 attaches proof of financial responsibility to the application. A broker who receives funds from a prospective borrower before closing posts a $25,000 corporate surety bond payable to the commissioner. At 0.6% of the bond amount, that prices at $150, the bond issues the moment you pay, and any credit screen is a soft pull only — it never affects your score.

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Required for a Michigan 1st Mortgage Broker license under MCL 445.1654

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$25,000 bond payable to the commissioner — the broker figure in the statute

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0.6% of the bond amount — $150 at checkout, no quote process

A-ratedA.M. Best carriersInstantissuance at checkout0.6% rate$150 at checkout

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How it works

Three steps. One sitting.

Broker-only license bonds are among the simplest filings in surety. Here's the entire process:

NOW · ONLINE

Apply online

Business details, an effective date, and a term. That is the entire application — and any credit screen is a soft pull that never shows as a hard inquiry.

INSTANTLY

Pay & e-sign

This bond is checkout-priced at 0.6% of the $25,000 amount — $150 — so it issues the moment you pay. Your executed bond and power of attorney generate on the spot.

SAME DAY

File through NMLS

The executed bond delivers on the NMLS electronic surety bond track to the Michigan Department of Insurance and Financial Services, attached to your broker license record.

About this bond

What it is and who needs it.

What the bond actually guarantees

A mortgage broker under the Mortgage Brokers, Lenders, and Servicers Licensing Act arranges or negotiates first-lien mortgage loans for prospective borrowers — the loan itself closes in a lender’s name. Michigan licenses that activity through the Department of Insurance and Financial Services, and MCL 445.1654 requires proof of financial responsibility at application and renewal: $25,000 for a broker who receives funds from a prospective borrower before the loan closes.

The bond is a corporate surety bond payable to the commissioner — you (the principal), the carrier, and the State of Michigan (the obligee), with your borrowers as the protected parties. It stands behind the fee, disclosure, and handling-of-borrower-funds rules that make the requirement necessary in the first place.

It is not insurance for you — if the surety pays a claim, you repay the surety. Proof of financial responsibility is required at renewal as well as at application, so the bond must stay continuously on file; we track the term and send renewal notices 60 and 30 days out.

MCL 445.1654Section 4 of the Mortgage Brokers, Lenders, and Servicers Licensing Act requires an applicant, at the time of filing an application for a license or renewal of a license, to provide proof of financial responsibility — $25,000.00 for an applicant who acts as a mortgage broker and who receives funds from a prospective borrower before the closing of the mortgage loan or who acts as a mortgage lender, and $125,000.00 for an applicant who acts as a mortgage servicer. Acceptable forms include a corporate surety bond payable to the commissioner, an irrevocable letter of credit from a federally insured institution, or a qualifying deposit of securities. A broker who will not receive borrower funds before closing should confirm on the NMLS checklist whether DIFS accepts an exemption declaration instead.

You need this bond if you're

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Applying for a Michigan 1st Mortgage Broker license — filed through NMLS with DIFS

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Collecting borrower funds before closing — the condition MCL 445.1654 attaches the $25,000 figure to

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Renewing your broker license — proof of financial responsibility is required at renewal

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Replacing a cancelled bond so the license stays in good standing

One application, issued instantly.

These are the actual issuing fields — business details, an effective date, and a term. That is the entire application.

Start the application →

FAQ

Common questions.

How much is the Michigan 1st Mortgage Broker license bond?The premium is 0.6% of the bond amount. MCL 445.1654 sets the broker figure at $25,000, so it works out to $150 — the same for every broker licensee, and the price you see is the checkout price.

Do I pay the $25,000?No. You pay $150. The $25,000 is the surety's maximum liability if a valid claim is made against the bond — not a deposit, and nobody holds your money.

What if I never take borrower funds before closing?MCL 445.1654 ties the $25,000 broker figure to a broker who receives funds from a prospective borrower before the mortgage loan closes. If that is not your model, check your NMLS checklist — DIFS may accept an exemption declaration instead of the bond.

Is there a credit check?If a credit screen runs on this bond, it is a soft pull only — never a hard inquiry, and it never affects your score. The rate stays 0.6% of the bond amount either way.

Who requires the bond, and where does it go?The Michigan Department of Insurance and Financial Services. The bond is payable to the commissioner and delivers electronically through NMLS with your 1st Mortgage Broker license record.

Related bonds

Other Michigan bonds.

Finish your 1st mortgage broker license today.

0.6% of the $25,000 bond — $150 — issued the moment you pay, soft pull only. Free until issued.

Start application

Your price$150

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