Posted by GRF on 8/7/06 2:04pm
Msg #137487

new settlement agent in MD

I am a realtor in MD who is interested in becoming a settlement agent. I am a notary and have my P&C license. I have been told so many different things as to what I need to do. MIA says I just need to send in a request to add title insurance producer to my license and proof of $100,000 surety bond. Have contacted bond agencies and have received different info on being bonded. Some say I need extensive experience but how do you get experience before you are licensed. Also are there any courses in MD specifically for being a subcontracted setllement agent? MD doesn't recognize being a ceritfied signing agent but should I still take classes to learn? Any info would be greatly appreciated.

Reply by Genkichan on 8/7/06 3:46pm
Msg #137514

If the MIA tells you that you can just add the TPL to your P&C license, then that's a pretty good deal presumming you can secure the bond. You need excellent credit and enough personal assests to guarantee that bond. Google Brad Swanson at Chesapeake Insurance in Annapolis, and call and he will give you the best bond/pricing available. He also has great E&O to cover yourself.

I don't know if you personally need anything else to get the bonded. Those of us without a P&C license have to take a title producer licensing class, and pass a test, before we can even apply for the bond. The bond must be secured after passing the test, but before the license is actually issued. So, I don't know how that would work out for you. Brad might know.

As far as taking a class for certified signing agents, that's totally up to you. It might make you feel better/more competent, but it won't make a bit of difference from anyone else's perspective.

Finally, remember that as a realtor collecting commissions, it would be a HUGE conflict of interest for you to act as the notary/signing agent on loans involving real estate that you are either selling or representing a buyer.

Good Luck!

Reply by GRF on 8/16/06 10:14pm
Msg #139039

Thanks for the reply. I have been reading info on this site every chance I get for the past few weeks. It is a wonderful source of practical information.

I just received my $100k bond and E&O insurance today. According to MIA I just need to send in verification of my surety bond, fidelity was waived since I have no employees and a request to add title insurance producer to my existing P&C license. It renews in October and they said I do not need to take any title insurance continuing ed this time but I will need to for my next renewal in two years. She said those classes are hard to come by and she wasn't sure the number of hours I needed for that specific field. Do you know so I can start looking for those classes?

I won't be doing any crossovers of my services, I totally understand the reasons for conflicts of interest and why those regulations are in place. It's just nice to be able to diversify my income but yet stay in fields similar enough so your knowledge benefits both ways.