Alabama Consumer Credit License & Mortgage Broker License
An interesting aspect of Alabama’s licensing structure is that it is divided into two types, Consumer Credit License (Lender) and a Mortgage Brokers License. Each of these licenses require a Surety Bond that is based off the loan volume of the previous calendar year. However, the Consumer Credit License allows for different loan types beyond mortgages and the license location cannot be a residence or in a zoned residential area. Although technically neither license requires a brick and mortar location for the business, they do define where business can be conducted under these licenses. Alabama also requires a QI for a mortgage broker’s license, with a defined amount of experience necessary to fill that position versus other states that may not have those same experience requirements.
| State | License Name | State Fee | Bond Premium Est. | SOS Fee | MLG Processing Fee | Total |
| Alabama | Mortgage Broker License | $720 | $188 | $284 | Call for More Information | $1,192 |
| Alabama | Consumer Credit License | $720 | $188 | $284 | Call for More Information | $1,192 |
License: Consumer Credit License
- Operating Status: Lender/Broker
- Bond Amount: $25,000
- Net Worth: $25,000
- Brick & Mortar: No
- Financial type: Compiled
Consumer Credit License (Lender)
The required Surety Bond amount is based off of loan volume in AL loans closed in the previous calendar year. Resume of all owners, principals, and executive officers are required by the application for the past 5 years. The requested licensed location must not be a residence or zoned residential. QI is not required for this license.
Things to Note: Each branch location, wherever located, desired to conduct business under this license will require a branch license. (Branch app is almost the same price as the company app.)
License: Mortgage Broker License
- Operating Status: Broker
- Bond Amount: $25,000
- Net Worth: $25,000
- Brick & Mortar: No
- Financial type: Unaudited
Mortgage Brokers License
The required Surety Bond amount is based off of loan volume in AL loans closed in the previous calendar year. One item required for this application is a Resume form all owners, principals, and executive officers reflecting at minimum the last 5 years. A QI is required for this license and must have 2 of the last 4 years experience.
Things to note: Each branch location, wherever located, desired to conduct business under this license will require a branch license. (Branch app is almost the same price as the company app.)
For more information or to speak to a representative for your state
call us today at 866-576-7726
**Fees & terms are subject to change without notice.**
The Alabama mortgage broker license is one of two primary lending authorizations in the state, alongside the Consumer Credit License (Lender). Both are regulated by the Alabama State Banking Department and require a Surety Bond based on the total loan volume of Alabama loans closed in the previous calendar year.
For either authorization, the approved business location cannot be a residence or a property zoned residential, though maintaining a physical office is not mandatory. Each branch conducting business under an Alabama mortgage broker license must obtain its own branch approval, with the branch application fee nearly matching that of the main company.
The Consumer Credit License allows a broader range of loan activity beyond traditional home loans and does not require a Qualified Individual (QI). In contrast, the Alabama mortgage broker license mandates a QI who has at least two of the last four years of relevant industry experience.
As part of the application process, resumes for all owners, principals, and executive officers must be submitted, showing a minimum of five years of business and employment history.