Category: Uncategorized

How to Become a Mortgage Broker in Washington

Surety Bond Professionals is a family-owned and operated bonding agency with over 30 years of experience. With access to a broad range of surety markets, our expert agents are ready to assist with all of your Washington mortgage broker bond needs. Learn how to become a mortgage broker in Washington, below. What Mortgage Broker Licenses Are Issued in the state of Washington? The state of Washington defines a mortgage broker as “any company (including a sole proprietorship) that for compensation or gain, or in the expectation of compensation or gain: (a) assists a person in obtaining or applying to obtain a residential mortgage loan or (b) holds itself out as being able to assist a person in obtaining or applying to obtain a residential mortgage loan.” Although mortgage broker licenses are issued by the Washington Department of Financial Institutions (DFI), applications for licensure are submitted and processed through the Nationwide Mortgage Licensing System, or NMLS. What Are the Steps in the Licensing Process? The NMLS website provides a checklist you can use to make sure that you meet all eligibility criteria and pre-licensing requirements before you complete an application. Pre-licensing requirements include registering the business with the Washington Secretary...

Read more

By SEO Team

0

What is an indemnity bond?

Surety Bond Professionals is a family-owned and operated bonding agency with over 30 years of experience. With access to a broad range of surety markets, our expert agents are ready to assist with all of your bond needs. An indemnity bond assures the holder of the bond, that they will be duly compensated in case of a possible loss. This bond is an agreement that protects the lender from loss if the borrower defaults on a legally binding loan.  If the principal fails to fulfill the contractual obligations (agreed upon by the obligee and the principal), the principal pays up to the full bonded amount (including legal costs). If a person fails to pay the agreed upon amount, then their corporate and personal assets will be used to pay them.  This bond is non-negotiable.  If not signed, the surety bond will not be approved. So what is an indemnity bond? An indemnity bond gives the legal right to collect from the principal any amount that the surety has paid out in a claimed situation. As per the agreement, it requires that the company pay a premium. For example, if the surety company must pay another contractor to complete the project,...

Read more

By M L

0

Surety Bond Professionals Celebrates 5th Year Anniversary

Surety Bond Professionals (SBP) has reached an exciting milestone as the company celebrates 5 years of providing surety bonds to the construction and commercial industries. Our Origins Mark Leskanic, President, founded the agency in 2015 after years of working for large bonding companies and insurance agencies. Mark recognized the need for a bond-only agency that treats clients, employees, and underwriters as a “business family.” This approach has allowed the company to meet the needs of contractors, clients, and insurance agencies by streamlining the bonding process, offering the most competitive bonding limits, rates, and the best hands-on service. Serving All 50 States The company is headquartered in Massachusetts with a regional office in Mississippi and now employs 8 people. SBP began writing bonds primarily in the New England area, but in the last couple of years their efforts have expanded to routinely write surety bonds in all 50 states. A Note From Mark Leskanic, President Mark reflected on the company’s 5th anniversary by saying, “These have been an amazing 5 years. We started out with a philosophy of keenly listening to the marketplace, delivering a high-quality products, and providing the most attentive customer service. Our founding beliefs remain our top...

Read more

By SEO Team

0

What Contractors Can Do During the Coronavirus Pandemic – A Bonding Agent’s Recommendations

In a world turned upside-down by a global pandemic, contractors are likely working extra hard to make sure their business is braving the storm. They may be experiencing a variety of struggles, including a shortage of labor & supplies, cash flowing payroll and liabilities, and completing contracts on schedule. During a time like this, it’s important for contractors to turn to their trusted advisors who can provide reliable information and guidance. Here are five measures from a bonding perspective to ensure your business can continue to run smoothly, while staying out of trouble with the surety company: 1. Have a construction attorney review your current contract(s) to avoid performance bond issues. Understand what rights you may have in this situation, especially related to force majeure. Force majeure is a contract provision that allows you to call a stoppage on work during a crisis like the Coronavirus pandemic, without incurring performance bond claims. If your contract was signed after the President declared a State of Emergency on March 13, however, the owner/GC could state that COVID-19 was a known risk, and any delays could be the responsibility of your company and result in liquidated damages. This is not legal advice...

Read more

By SEO Team

0

Mortgage Broker Bonds

The mortgage industry is highly regulated, and the people who work in it are held to high standards. Mortgage brokers must be licensed by the states they work in, and most states require the purchase of a mortgage broker surety bond as part of the licensing process. Learn more about these bonds below, and request a quote from Surety Bond Professionals today. What Are They? As the “middlemen” linking borrowers and potential lenders, mortgage brokers handle a lot of sensitive personal information. A mortgage broker bond serves as a broker’s guarantee to operate entirely within the law in obtaining and handling that information and carrying out all duties of the position. The bond is intended to ensure the availability of funds to compensate any party who suffers a financial loss due to the broker’s unlawful or unethical actions. Who Needs Them? In all but a few states, anyone seeking to obtain or renew a license as a mortgage broker is required to purchase this type of bond. It a type of license and permit surety bond. How Do They Work? The agency that licenses mortgage brokers in each state is known as the bond’s obligee. The obligee determines the...

Read more

By SEO Team

0

Freight Broker Bonds (BMC-84 Bonds)

Freight Broker Bonds (BMC-84 Bonds) Learn more about BMC-84 bonds below, and contact Surety Bond Professionals today to request a quote. Our experienced surety agents are ready to help you get the bonds you need. What Are They? The Federal Motor Carrier Safety Administration (FMCSA), which is an agency of the U.S. Department of Transportation, requires freight brokers and forwarders to put up $75,000 in funds to provide financial protection for shippers and carriers. This provides funds to pay shippers’ or carriers’ claims who are owed money from a freight broker or freight forwarder. This requirement can be met by either: Purchasing a $75,000 surety bond, known as a BMC-84 bond Putting up cash or line of credit (LOC)—or some combination of cash and LOC Because purchasing a BMC-84 bond is part of the process of obtaining an operating license, it’s categorized as a license and permit bond. Who Needs Them? Any freight broker or forwarder seeking a license to operate within the United States must purchase a BMC-84 bond or put up $75,000 in cash and/or an LOC. Many brokers and forwarders choose to purchase a bond rather than tie up their cash or credit and pay a...

Read more

By SEO Team

0

Notary Public Bonds

Notary Public Bonds Learn more about notary public bonds below, and contact Surety Bond Professionals today to request a quote. Our experienced surety agents are ready to help you get the bonds you need. What Are They? First, consider what a notary public does. According to the National Notary Public Association, a notary public is “an official of integrity appointed by state government to serve the public as an impartial witness in performing a variety of official fraud-deterrent acts related to the signing of important documents.” The key word in that definition is “integrity.” In order for the public, courts, banks, and other entities to have confidence in the legitimacy of a notarized document, they need to have confidence in the integrity of the notary public who witnessed and attested to the signature(s) it bears. A notary public bond provides a guarantee that the notary public performs their duties in a completely ethical and lawful manner. Who Needs Them? Most states require the purchase of a surety bond as part of the process of becoming commissioned as a notary public. You can contact the Secretary of State’s office in your state and ask whether you will need to obtain...

Read more

By SEO Team

0

Lost Title Bonds

Lost Title Bonds Suppose you bought a car from a private seller, an individual you don’t know very well, and were given a receipt or bill of sales, but no title. How do you register the vehicle without a title? The short answer is: you buy a lost title bond. Learn more about these bonds, and request a quote from Surety Bond Professionals today. What Is It? A lost title bond will enable you to get a bonded title from your state’s motor vehicle department, which will allow you to register the vehicle. The bond is your guarantee that anyone who later shows up and claims a valid, verifiable ownership interest in the vehicle will not suffer a financial loss because you have purchased the vehicle and registered it in your own name. Who Needs It? In the majority of states, anyone who has purchased a vehicle and does not have a valid title for it will need to obtain a lost title bond in order to insure the vehicle, register it in their own name, or sell it. This applies in cases where: The purchaser received no title The purchaser received a title that was lost or stolen...

Read more

By SEO Team

0

Encroachment Bonds

Learn more about encroachment bonds below, and contact Surety Bond Professionals today to request a quote. Our experienced surety agents are ready to help you get the bonds you need. What Are Encroachment Bonds? Encroachment occurs when a private entity wants to place a cell tower, utility pole, fence, billboard, or other “encroachment” on private property adjacent to public property. The contractor hired to do this work must first obtain an encroachment permit, which includes purchasing an encroachment surety bond. While the details vary from state to state, the state’s Highway Department or Department of Transportation typically is the agency that issues encroachment permits and requires the purchase of these bonds. In some states, however, encroachment permits may also be issued by local jurisdictions. An encroachment bond provides a guarantee that the contractor will act in accordance with applicable state and/or municipal laws and regulations when placing the encroachments on the private property. These will be specified in the bond agreement. The bond agreement makes the contractor legally responsible for preserving and protecting adjacent public property. They are also responsible for the cost of repairing any damage or alterations and restoring the public property to its pre-encroachment condition. Who...

Read more

By SEO Team

0

Advance Payment Bonds

In the construction industry, contractors may need a client to make a down payment, also known as an advance payment, to cover the cost of materials or equipment required to initiate a project. In making such a payment, the project owner is exposed to the risk that the contractor will default on the project without returning the amount advanced. That’s where advance payment bonds come in. Learn more about these bonds below, and request a quote from Surety Bond Professionals today. What Are They? An advance payment surety bond is the contractor’s guarantee that the advance will be returned to the project owner if for any reason the contractor becomes insolvent or otherwise fails to meet contractual obligations. The bond protects the client, not the contractor. Advance payments are typically repaid by the contractor through deductions applied to interim (or “progress”) payments from the project owner. These deductions are normally spaced out so that a certain percentage of the advance payment amount is deducted from each payment the project owner makes to the contractor until the entire advance payment amount has been repaid. Who Needs Them? Contractors undertaking projects that require a substantial initial outlay of money often negotiate...

Read more

By SEO Team

0