A West Virginia mortgage broker bond and licensing are prerequisites to legally brokering residential mortgages in the State of West Virginia. “Mortgage Broker” means any person acting in the regular course of business who, for a fee or commission or other consideration, negotiates or arranges, or who offers to negotiate or arrange, or originates or assigns a primary or subordinate mortgage loan between a lender and a borrower (WV Code §31-17-1) subject to the surety bond requirement. The West Virginia mortgage broker bond is also required of those parties considered to be acting in the regular course of business, i.e., if he or she negotiates or arranges, or offers to negotiate or arrange, or originates, processes or assigns any primary or subordinate mortgage loans in any one calendar year; or if he or she seeks to charge a borrower or receive from a borrower money or other valuable consideration in any primary or subordinate mortgage transaction before completing performance of all broker services that he or she has agreed to perform for the borrower. The West Virginia mortgage broker bond must be filed with the Commissioner in favor of the State for the benefit of consumers or for a claim by the Commissioner for an unpaid civil administrative penalty or an unpaid examination invoice. The West Virginia mortgage broker bond must be written in the amount of $50,000 for licensees with West Virginia loan originations of $0 to $3 million, $75,000 for West Virginia loan originations greater than $3 million and up to $10 million, and $100,000 for West Virginia loan originations over $10 million, HOWEVER the surety bond must be in the amount of $150,000 before a broker may participate in a table-funded residential mortgage loan (§31-17-4). The West Virginia mortgage broker bond must in a form and with conditions as the commissioner may prescribe and executed by a surety company authorized to do business in the State. Currently the obligation states and guarantees that the broker will conform to and abide by the provisions of the law and of all rules and orders lawfully made or issued by the Commissioner of Banking thereunder, and shall pay to the State and shall pay to any such person or persons properly designated by the State any and all moneys that may become due or owing to the State or to such person or persons from the broker in a suit brought by the Commissioner on their behalf. West Virginia surety leader, Surety One, Inc. is a specialist in the bonding needs of the financial services sector. We can accommodate both the surety and fidelity bond needs of mortgage professionals in ALL fifty states, Puerto Rico and the U.S. Virgin Islands. Visit us at SuretyOne.com, call (787) 333-0222 or (800) 373-2804, or email us at Underwriting@SuretyOne.com for a West Virginia mortgage broker bond application or information on ANY surety need.
