Note: see session law sections for effective dates.
(a) Each mortgage loan originator must be covered by a surety bond meeting the requirements of this section. In the event that the mortgage loan originator is an employee or exclusive agent of a person subject to this chapter, the surety bond of the person subject to this chapter can be used in lieu of the mortgage loan originator's surety bond requirement.
(b) The surety bond shall provide coverage for each mortgage loan originator in an amount as prescribed in subdivision 2.
(c) The surety bond must be in a form as prescribed by the commissioner.
The penal sum of the surety bond must be maintained in an amount that reflects the dollar amount of loans originated as determined by the commissioner.
When an action is commenced on a licensee's bond the commissioner may require the filing of a new bond.
Immediately upon recovery upon any action on the bond the licensee shall file a new bond.