Last Updated on October 23, 2025

Announcement: Required Use of Electronic Surety Bonds – 7 Tex. Admin. Code § 58.107

Effective January 1, 2026, the Department of Savings and Mortgage Lending (SML) will require all residential mortgage loan servicers to obtain and maintain a surety bond filed electronically through the Nationwide Multistate Licensing System (NMLS), in accordance with 7 Texas Administrative Code § 58.107.

What You Need to Know:

All entities registered as a residential mortgage loan servicer under Chapter 158 of the Texas Finance Code.

A surety bond must be filed electronically via the NMLS Electronic Surety Bond (ESB) system.

• When does this take effect?

January 1, 2026 – All residential mortgage loan servicer registrants must have an electronic surety bond on file by this date. During the renewal period, registrants operating under a paper surety bond must convert to an electronic surety bond in order to renew the registration.

• Where can I find more information about the NMLS Electronic Surety Bond Process?

The electronic surety bond process is explained on the NMLS Resource Center website.

The adoption of electronic surety bonds enhances efficiency, improves recordkeeping, and aligns Texas with national standards already in place in many other states.

Questions?

For more information or assistance with the transition to electronic surety bonds, please contact SML by email at or visit our website (sml.texas.gov).