Separate Bond Per License
Broker/Lender: $25K/$50K/$100K by production. Servicer: $75K/$150K/$250K/$350K by UPB. One bond required per entity license. MLOs covered by employer's bond.
MT Division of BankingMCA § 32-9-123Same-Day Issuance
Montana Mortgage Broker Surety Bond
Secure your Montana mortgage broker, lender, or servicer license with a surety bond from Surety One, Inc. Broker/lender bonds $25,000–$100,000, servicer bonds $75,000–$350,000. Bond benefits borrowers first. Premiums individually determined by credit.
MT Mortgage Broker / Lender / Servicer Bond
$25K – $350K
Separate schedules by license type • Borrower-first priority • Premium based on credit
Broker/Lender (≤$50M)$25,000
Broker/Lender (>$100M)$100,000
Servicer (≤$25M UPB)$75,000
Servicer (>$500M UPB)$350,000
ObligeeState of Montana
TurnaroundSame Day
Get Your Free Quote
Understanding Your Bond
What Is a Montana Mortgage Broker Surety Bond?
A Montana mortgage broker surety bond is required by the Montana Division of Banking and Financial Institutions, under the Department of Administration, as a condition of licensure under the Montana Mortgage Act (MCA Title 32, Chapter 9, § 32-9-123).
Montana is distinctive in requiring separate bonds for each license type — a broker bond, a lender bond, and a servicer bond — each with its own tier schedule. Broker and lender bonds use annual loan production ($25K–$100K in three tiers), while servicer bonds use unpaid principal balance as of December 31 ($75K–$350K in four tiers).
Montana's bond runs to the State of Montana as obligee but benefits borrowers first, then the state and any person who suffers loss by reason of violations. The Department uses bond proceeds to reimburse borrowers, the Department, or bona fide third parties who demonstrate financial loss. Montana also offers brokers a net worth alternative in lieu of the surety bond.
The Three Parties
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PrincipalThe mortgage broker, lender, or servicer who purchases the bond and must comply with the Montana Mortgage Act.
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ObligeeThe State of Montana — the bond runs first to the benefit of borrowers, then to the state and third parties who suffer loss.
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SuretySurety One, Inc. — the company that underwrites and issues the bond, guaranteeing the principal's compliance with Montana mortgage law.
Borrower-First Priority — Unique to Montana
Montana's bond explicitly benefits borrowers first, then the state and third parties. The Department uses bond proceeds to reimburse those who demonstrate financial loss from violations — a borrower-priority structure not found in most other states.
Bond Amount Schedule
Montana Mortgage Bond Amounts — Two Separate Schedules
Broker/lender bonds are based on combined annual loan production across all locations and originators. Servicer bonds are based on total unpaid principal balance as of December 31.
Mortgage Broker & Lender (Annual Loan Production)
| Combined Annual Loan Production | Bond Amount |
|---|---|
| New applicant / $50 million or less | $25,000 |
| $50 million – $100 million | $50,000 |
| Over $100 million | $100,000 |
Mortgage Servicer (Unpaid Principal Balance as of Dec. 31)
| Total Unpaid Principal Balance (UPB) | Bond Amount |
|---|---|
| $25 million or less | $75,000 |
| $25 million – $100 million | $150,000 |
| $100 million – $500 million | $250,000 |
| Over $500 million | $350,000 |
Separate Bond Per License Type
An entity licensed as a broker, lender, and servicer must maintain one separate surety bond per license type. The servicer bond has its own four-tier schedule using unpaid principal balance — the highest tier reaching $350,000. MLO employees are covered under the company's bond. Apply now or call (800) 373-2804.
Montana Licensing Requirements
Key Bond & Licensing Requirements
Montana's borrower-first bond priority, separate license bonds, and net worth alternative create a distinctive Mountain West mortgage licensing framework.
Division of Banking
MT Division of Banking and Financial Institutions, Dept. of Administration. Phone: (406) 841-2920. Email: banking@mt.gov. Bond runs to the State of Montana, borrowers first.
Montana Mortgage Act
MCA Title 32, Ch. 9, § 32-9-123. Administrative Rule 2.59.1735 (new applicant bond). Bond must be from a surety authorized in Montana. Records kept 5 years minimum.
Net Worth Alternative
Brokers only may meet a net worth requirement in lieu of the bond. FHA-approved broker net worth equivalent to bond amount also qualifies. Lenders and servicers must post bonds.
NMLS ESB Only
All bonds must be electronic through NMLS — do not mail anything bond-related. Certificate of Authority or Good Standing required. Trade names registered with MT Secretary of State.
30-Day Cancel / Replenish
30-day written notice via NMLS for cancellation. Must replenish bond if reduced by claims. Surety must notify Department within 10 days of paying any claim. December 31 renewal. 15-day notice of investigations.
Consumer Protection
What Does This Bond Protect Against?
Montana's borrower-first priority bond and mandatory bond replenishment after claims create robust consumer protection. The bond covers:
Borrower-First Priority
The bond runs first to the benefit of borrowers, then to the state and any person who suffers loss by reason of the licensee's or its originator's violation of the Montana Mortgage Act or rules.
Financial Loss Reimbursement
The Department uses bond proceeds to reimburse borrowers, the Department, or bona fide third parties who successfully demonstrate a financial loss because of a violation.
Bond Replenishment
When the bond is reduced by recoveries or payments, the licensee must immediately furnish a new or additional bond so the total principal sum equals the required level.
15-Day Investigation Notice
Licensees must notify the Department through NMLS within 15 days of learning of any investigation or judgment involving claims over $20K (broker/MLO) or $200K (lender/servicer).
How It Works
Get Your Montana Mortgage Broker Bond in 4 Steps
Surety One makes obtaining your Montana mortgage broker surety bond fast and straightforward. Most bonds are issued the same business day.
Apply Online
Complete our mortgage bond application online or call us at (800) 373-2804. There's no cost and no obligation.
Get Your Quote
Our underwriters review your application and provide a competitive premium quote, typically within hours. We work with all credit profiles.
Purchase & Sign
Accept your quote, complete the indemnity agreement, and pay your premium. We prepare the bond for each required license type.
Filed via NMLS
Surety One files your Electronic Surety Bond through the NMLS. All MT bonds are electronic only — nothing is mailed to the Division.
Understanding Your Premium
How Is My Premium Determined?
Your premium — the actual amount you pay — is a percentage of your required bond amount. You do not pay the full bond amount. Your rate is individually determined through underwriting review.
| Underwriting Factor | How It Affects Your Premium |
|---|---|
| Required Bond Amount | Your license type and MT volume/UPB determine the bond ($25K–$350K). Higher amounts result in higher premiums. |
| Personal Credit Score | Your FICO score is a primary factor. Stronger credit profiles generally qualify for lower premium rates. |
| Financial Statements | Bond amounts over $50,000 require personal and business financial statements. Business plan and organizational chart also required. |
| Industry Experience | Your professional history in the mortgage industry may be considered as part of the risk assessment. |
| Claims History | Any prior surety bond claims or regulatory actions may influence the terms offered. |
Every Applicant Receives a Personalized Quote
Because premiums are individually determined, the only way to know your exact cost is to apply. Surety One provides free, no-obligation quotes — and we decline no application. We offer non-standard programs for applicants with impaired or limited credit. Apply now or call (800) 373-2804.
Common Questions
Montana Mortgage Broker Bond FAQ
MT broker/lender bonds are $25,000 (≤$50M production), $50,000 ($50M–$100M), or $100,000 (>$100M). Servicer bonds are $75,000–$350,000 by UPB. New applicants start at $25,000. Your premium is individually determined by credit and underwriting review.
Yes. Montana's bond runs to the State but benefits borrowers first, then the state and any person who suffers loss. The Department uses bond proceeds to reimburse borrowers, the Department, or bona fide third parties who demonstrate financial loss from violations.
Yes. Montana allows mortgage brokers (not lenders or servicers) to meet a minimum net worth requirement in lieu of a surety bond. FHA-approved brokers whose net worth equals the corresponding bond amount also satisfy this requirement.
Yes. An entity licensed as a broker, lender, and servicer must maintain one separate surety bond per license type. The broker/lender schedule uses annual production, while the servicer schedule uses unpaid principal balance as of December 31.
When the principal sum is reduced by recoveries or payments, the licensee must immediately furnish a new or additional bond to restore the total to the required level. The surety must notify the Department within 10 days of paying any claim.
Yes. Surety One declines no application. We offer non-standard programs for applicants with impaired credit, limited credit history, or other underwriting challenges. Montana's lower broker entry bond of $25,000 makes bonding accessible even for challenged-credit applicants.
Montana mortgage licenses expire December 31 each year. All bonds must be electronic through NMLS — do not mail anything bond-related to the Division. 30-day written notice through NMLS required before cancellation. Brokers must sponsor at least one mortgage originator.
The Surety One Advantage
Why Choose Surety One, Inc.?
Surety One is a national surety leader specializing in the bonding needs of mortgage professionals across all 50 states, Puerto Rico, and the U.S. Virgin Islands.
MT Multi-License Specialists
Montana's separate bond per license type demands a surety that can issue broker, lender, and servicer bonds efficiently. We handle all MT mortgage bond types from a single point of contact.
Same-Day Issuance
Most Montana mortgage bonds are issued the same business day. Our 24/7/365 underwriting team provides guaranteed same-day feedback on every submission.
A+ BBB Rated
Surety One carries an A+ rating with the Better Business Bureau in both our U.S. and Puerto Rico offices, reflecting our commitment to client satisfaction.
All Credit Accepted
We decline no application. Montana's $25K entry bond for brokers is accessible, and our non-standard programs ensure even challenged-credit applicants can get bonded.
Mountain West Expertise
Operating in the Mountain West and beyond? We streamline your bonding across all 50 states with a single point of contact, ensuring compliance everywhere.
Free Quotes, No Obligation
Application review and quoting are always free. There is no obligation to purchase. Contact us by phone, email, or live chat to explore your options.
