TN flexible credit license bonds.
1% of the bond amount.
Tennessee licenses flex loan lenders under the Flexible Credit Act, filed through the NMLS with the Commissioner of the Department of Financial Institutions (TDFI). T.C.A. 45-12-106 conditions the license on a surety bond (or irrevocable letter of credit) of $25,000 for each licensed location, capped at $200,000 in the aggregate per licensee. The premium is 1% of the bond amount, $100 minimum, and the application collects no credit information. Enter the amount your license requires and your exact price appears at the application.
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Apply to filed in one sitting.
No long underwriting queue for the standard flex loan bond — enter your amount, pay, and file through NMLS. Here is the whole thing:
Apply online
Your company details, the entity type, the bond amount your license requires ($25,000 per location), and the effective date — that is the entire application.
Issued
The application collects no credit information, and most applications approve quickly. If a check ever runs on a larger aggregate amount, it is a soft pull that will not touch your score.
File through NMLS
Submit the executed bond to satisfy your flexible credit license application or renewal with TDFI. Wet-ink originals mailed whenever the department insists.
What it is and who needs it.
What the flexible credit license bond actually covers
Tennessee's Flexible Credit Act (T.C.A. Title 45, Chapter 12) licenses lenders who make open-end "flex loan" credit — revolving lines of credit offered outside the state's installment-loan and payday-lending statutes. A licensee applies through the NMLS, and the Commissioner of the Department of Financial Institutions reviews the applicant's net worth, business record, and character before issuing the license.
As a condition of licensure, T.C.A. § 45-12-106 requires each licensee to file a surety bond (or an irrevocable letter of credit) in the amount of $25,000 for each location, capped at $200,000 in the aggregate per licensee. The bond is payable to the Commissioner for the benefit of any person injured by the licensee's fraud, misrepresentation, breach of contract, financial failure, or violation of the Act — a person injured can sue on the bond directly, or the Commissioner can bring suit on their behalf in Davidson County Chancery Court.
The bond must stay in force for not less than three years following the expiration, revocation, or surrender of the license, covering claims that surface after you stop operating. Enter $25,000 for each licensed location, up to the $200,000 cap; we price the bond from a $100 minimum, and the application collects no credit information.
You need this bond if you are
One application, then a quick review.
Submit the application with your required bond amount — $25,000 per licensed location. The application collects no credit information; larger aggregate amounts may get a brief underwriter review.
Start the application →Common questions.
Other Tennessee bonds.
Flex loan license waiting on one filing.
Premiums from $100 — your exact price appears at the application. Enter your required amount and file through NMLS the same day.