Effective January 1, 2026, the Department of Savings and Mortgage Lending (SML) will require all residential mortgage loan servicers in Texas to file surety bonds electronically through the Nationwide Multistate Licensing System (NMLS). This mandate is in accordance with 7 Texas Administrative Code § 58.107.
The new requirement applies to all entities registered as residential mortgage loan servicers under Chapter 158 of the Texas Finance Code. As stated by SML, “A surety bond must be filed electronically via the NMLS Electronic Surety Bond (ESB) system.”
All affected registrants must have an electronic surety bond on file by January 1, 2026. Those currently operating under a paper surety bond will need to convert to an electronic format during the renewal period in order to maintain their registration.
According to SML, “The adoption of electronic surety bonds enhances efficiency, improves recordkeeping, and aligns Texas with national standards already in place in many other states.” More information about the process can be found on the NMLS Resource Center website.
For further details or assistance with transitioning to electronic surety bonds, SML encourages individuals to contact them by email or visit their official website at sml.texas.gov.
