MI 2nd mortgage broker bonds.
0.6% of the bond amount.

Michigan licenses secondary mortgage brokers — the people who arrange junior-lien loans for others — under the Secondary Mortgage Loan Act, 1981 PA 125. MCL 493.56 requires proof of financial responsibility with the license: a $25,000 corporate surety bond payable to the commissioner for a broker who receives funds from a prospective borrower before closing. 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 2nd Mortgage Broker license under MCL 493.56

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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.

Secondary mortgage broker bonds file in a single pass. 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. Wet-ink original mailed whenever the state insists.

About this bond

What it is and who needs it.

What the bond actually guarantees

A secondary mortgage loan is a loan secured by a junior lien on Michigan residential real property, and the Secondary Mortgage Loan Act, 1981 PA 125, puts brokers, lenders, and servicers of those loans under the Department of Insurance and Financial Services. A broker arranges the loan for a prospective borrower rather than funding it — and MCL 493.56 requires proof of financial responsibility of $25,000 for a license to act as a broker who receives borrower funds before closing.

The proof is a corporate surety bond payable to the commissioner, conditioned on the licensee conducting its business as the act and its rules require and paying all money that becomes due to borrowers, secondary mortgage loan applicants, and the commissioner. Claims may be filed only by the commissioner and by your borrowers, loan applicants, and loan servicing customers.

It is not insurance for you — if the surety pays a claim, you repay the surety. The bond has to stay continuously in place for the life of the license; we track the term and send renewal notices 60 and 30 days out.

MCL 493.56Section 6 of the Secondary Mortgage Loan Act requires an applicant, at filing or renewal, to provide proof of financial responsibility — $25,000.00 for a license or registration to act as a broker who receives funds from a prospective borrower before the closing of the secondary mortgage loan or who acts as a lender, and $125,000.00 for a license or registration to act as a servicer. The proof may be a corporate surety bond payable to the commissioner or an approved irrevocable letter of credit, conditioned on the licensee or registrant conducting its business as the act and rules require and paying all money that becomes due to borrowers, secondary mortgage loan applicants, and the commissioner. Claims may be filed only by the commissioner and by the licensee’s or registrant’s borrowers, loan applicants, and loan servicing customers.

You need this bond if you're

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Applying for a Michigan 2nd Mortgage Broker license — filed through NMLS with DIFS

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Arranging junior-lien loans for others without funding them yourself

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Collecting borrower funds before closing — the condition MCL 493.56 attaches the $25,000 figure to

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

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 2nd Mortgage Broker license bond?The premium is 0.6% of the bond amount. MCL 493.56 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.

Who can make a claim against this bond?MCL 493.56 limits claims to the commissioner and to the licensee’s borrowers, secondary mortgage loan applicants, and loan servicing customers. It is not a general-purpose creditor 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, which administers the Secondary Mortgage Loan Act. The bond is payable to the commissioner and files electronically through NMLS with your license.

Related bonds

Other Michigan bonds.

Finish your 2nd mortgage broker license today.

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

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Your price$150

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