California Code of Regulations
Title 10 - Investment
Chapter 3 - Commissioner of Financial Protection and Innovation
Subchapter 11.5
Article 6 - Bonding
Section 1950.205.1 - Surety Bond
Current through Register 2024 Notice Reg. No. 38, September 20, 2024
Every licensee shall maintain a surety bond in accordance with Section 50205 of the Financial Code as follows:
(a) A residential mortgage lender, mortgage servicer, or residential mortgage lender and servicer that does not employ one or more mortgage loan originators shall post a surety bond in the amount of $50,000. The amount may be increased by order of the Commissioner upon a determination by the Commissioner that the licensee is not in compliance with any law, rule, or order.
(b) A residential mortgage lender, mortgage servicer, or residential mortgage lender and servicer that employs one or more mortgage loan originators shall post a surety bond based on the dollar amount of residential mortgage loans originated or serviced, or both, by that licensee and its mortgage loan originator employees in the preceding year, as follows:
|
Aggregate Loans |
Bond Amount |
|
|
0 - $50,000,000 |
$ 50,000 |
|
|
$50,000,001 - $500,000,000 |
$100,000 |
|
|
Over $500,000,001 |
$200,000 |
(c) A residential mortgage lender, mortgage servicer, or residential mortgage lender and servicer applicant without a prior year operating history shall make a good faith estimate of the aggregate amount of loans anticipated to be originated in the upcoming year to determine the amount of the surety bond.
1. New
section filed 4-1-2010 as an emergency; operative 7-31-2010 (Register 2010, No.
14). A Certificate of Compliance must be transmitted to OAL by 9-28-2010 or
emergency language will be repealed by operation of law on the following
day.
2. Editorial correction of HISTORY 1 (Register 2010, No.
40).
3. New section refiled 9-28-2010 as an emergency, including
repealer of subsection (d); operative 9-28-2010 (Register 2010, No. 40). A
Certificate of Compliance must be transmitted to OAL by 12-27-2010 or emergency
language will be repealed by operation of law on the following
day.
4. New section refiled 12-23-2010 as an emergency; operative
12-23-2010 (Register 2010, No. 52). A Certificate of Compliance must be
transmitted to OAL by 3-23-2011 or emergency language will be repealed by
operation of law on the following day.
5. Certificate of Compliance
as to 12-23-2010 order transmitted to OAL 3-14-2011 and filed 4-25-2011
(Register 2011, No. 17).
Note: Authority cited: Section 50304, Financial Code. Reference: Section 50205, Financial Code.
