New York Mortgage Loan Servicer Bond

The NY Mortgage Loan Servicer Registration bond is required by sole proprietors and companies engaged directly or indirectly in the business of servicing mortgage loans, including (i) receiving scheduled periodic payments from borrowers pursuant to the terms of any mortgage loan; (ii) making payments to borrowers on home equity conversion mortgages or reverse mortgages, and (iii) ownership of mortgage servicing rights, irrespective of whether such entity is a passive investor.

Bond Amount	Annual Premium
$250,000	$1,500

Overview

A New York mortgage servicer bond is required of individuals or business entities that receive payments from a borrower under the terms of a home loan. The state of New York banking superintendent requires mortgage servicers to be bonded in the amount of $250,000. The required $250,000 mortgage servicer bond for a one-year term can be purchased for $1,500. The bond is issued in the Nationwide Mortgage Licensing System (NMLS).