Who requires it
Department of Insurance and Financial Services — Consumer Finance
License & permit · Michigan
Michigan Mortgage Loan Originator Bond
Every Michigan mortgage loan originator must be covered by a surety bond under the Mortgage Loan Originator Licensing Act. Coverage can be an individual bond sized to the originator’s prior-year loan volume, or a single sponsoring-company bond that covers all of the sponsor’s Michigan MLOs at a higher amount tied to the company’s closed or modified volume.
Common bond amount
$10,000–$250,000 by volume
Individual: $10,000 / $25,000 / $50,000. Sponsor company: $50,000 / $150,000 / $250,000. Thresholds use $12M and $24M prior-year loan volume under MCL 493.159.
How you file
Individual Form FIS 2135 or sponsoring-company Form FIS 2137, filed with DIFS
Renewal
Keep continuous; replace after claim recovery; sponsors file quarterly coverage reports
Who requires it
Licensed mortgage loan originators under Act 75 of 2009. Company broker/lender/servicer financial responsibility under MCL 445.1654 or 493.56 is a separate obligation and does not replace MLO surety.
How much is required
MCL 493.159(1) sets individual coverage at $10,000 if the originator closed no loans or less than $12,000,000 in the preceding calendar year; $25,000 if prior-year originations were $12,000,000 or more but less than $24,000,000; and $50,000 if prior-year originations were $24,000,000 or more. DIFS Form FIS 2135 also uses $10,000 for first-time individual applicants. Under subsection (2), a sponsor may post one bond covering its employees and exclusive agents at $50,000, $150,000, or $250,000 based on whether the sponsor’s prior-year closed or modified loan volume was under $12,000,000, $12,000,000 to under $24,000,000, or $24,000,000 or more.
How to get and file it
Use DIFS Form FIS 2135 for an individual bond or FIS 2137 for a sponsoring-company bond, executed by a Michigan-authorized surety in the commissioner-prescribed form. Submit the original bond and power of attorney as the form instructions direct when electronic filing does not apply. Keep NMLS names and unique identifiers exact on sponsor quarterly coverage reports. Maintain coverage while licensed. If an action is commenced on the bond, the commissioner may require a new bond; after a recovery, the originator or sponsor must immediately provide a replacement that meets MCL 493.159. Sponsors that use a company bond must file the quarterly coverage report the statute requires before each calendar quarter ends.
Cost note
Those figures are the required bond amount, not the premium you pay. See bond amount vs premium. Bond amount vs premium →
Requirement checklist
- Individual — under $12M prior-year originations
- $10,000 (also first-time applicants on FIS 2135)
- Individual — $12M to under $24M
- $25,000
- Individual — $24M or more
- $50,000
- Sponsor company — under $12M closed/modified
- $50,000 covering all sponsored MLOs
- Sponsor company — $12M to under $24M
- $150,000
- Sponsor company — $24M or more
- $250,000
Official sources
Related resources
Frequently asked questions
Can my employer’s bond cover me?
Yes, if you are an employee or exclusive agent of a sponsor that posts a qualifying MCL 493.159(2) company bond. Otherwise file an individual FIS 2135 bond.
Is this the same as the $25,000 / $125,000 company mortgage bond?
No. Those amounts apply to broker, lender, and servicer company licenses under the first- and secondary-mortgage acts. MLO surety is a separate statute and schedule.
Surety basics (not repeated here)
Universal surety concepts explained once—linked here instead of repeated on every state or bond page.
Continue with a Michigan application
Michigan will be preselected. Choose your bond type in the application—we confirm the correct product against your agency form before anything is issued.
Last verified 2026-08-10. This guide is based on verified educational content and official sources.
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