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                                                                    EXHIBIT 99.3

                              BROKER DEALER LETTER

                               RADIAN GROUP INC.
                  OFFER TO EXCHANGE 7.75% DEBENTURES DUE 2011
                  REGISTERED UNDER THE SECURITIES ACT OF 1933
                 FOR ALL OUTSTANDING 7.75% DEBENTURES DUE 2011.


                                                                October 12, 2001


To: Brokers, Dealers, Commercial Banks, Trust Companies and Other Nominees:


     Radian Group Inc. (the "Company") is offering to exchange (the "Exchange
Offer"), upon and subject to the terms and conditions set forth in the
prospectus, dated October 12, 2001 (the "Prospectus"), and the enclosed Letter
of Transmittal (the "Letter of Transmittal"), its 7.75% Debentures due 2011
which have been registered under the Securities Act of 1933, as amended (the
"New Debentures"), for its outstanding 7.75% Debentures due 2011 (the "Old
Debentures"). The Exchange Offer is being made in order to satisfy certain
obligations of the Company contained in the Registration Rights Agreement, dated
as of May 29, 2001, between the Company and the initial purchasers referred to
therein.


     We are requesting that you contact your clients for whom you hold Old
Debentures regarding the Exchange Offer. For your information and for forwarding
to your clients for whom you hold Old Debentures registered in your name or in
the name of your nominee, or who hold Old Debentures registered in their own
names, we are enclosing the following documents:


          1. Prospectus, dated October 12, 2001;


          2. The Letter of Transmittal for your use and for the information of
     your clients;

          3. A Notice of Guaranteed Delivery to be used to accept the Exchange
     Offer if certificates for Old Debentures are not immediately available or
     time will not permit all required documents to reach the Exchange Agent
     prior to the Expiration Date (as defined below), or if the procedure for
     book-entry transfer cannot be completed on a timely basis;

          4. A form of letter which may be sent to your clients for whose
     account you hold Old Debentures registered in your name or the name of your
     nominee, with space provided for obtaining such clients' instructions with
     regard to the Exchange Offer;

          5. Guidelines for Certification of Taxpayer Identification Number on
     Substitute Form W-9; and

          6. Return envelopes addressed to First Union National Bank, the
     Exchange Agent for the Old Debentures.


     YOUR PROMPT ACTION IS REQUESTED. THE EXCHANGE OFFER WILL EXPIRE AT 5:00
P.M., PHILADELPHIA TIME, ON NOVEMBER 11, 2001, UNLESS EXTENDED BY THE COMPANY
("THE EXPIRATION DATE"). THE OLD DEBENTURES TENDERED PURSUANT TO THE EXCHANGE
OFFER MAY BE WITHDRAWN AT ANY TIME BEFORE 5:00 P.M., PHILADELPHIA TIME, ON THE
EXPIRATION DATE.


     The Company will not pay any fee or commission to any broker or dealer or
to any other person (other than the Exchange Agent for the Exchange Offer). The
Company will pay all transfer taxes, if any, applicable to the exchange of Old
Debentures pursuant to the Exchange Offer, on the transfer of Old Debentures to
it, except as otherwise provided in instruction 7 of the enclosed Letter of
Transmittal. The Company may reimburse brokers, dealers, commercial banks, trust
companies and other nominees for their reasonable out-of-pocket expenses
incurred in forwarding copies of the Prospectus, Letter of Transmittal and
related documents to the beneficial owners of the Old Debentures and in handling
or forwarding tenders for exchange.

     To participate in the Exchange Offer, a duly executed and properly
completed Letter of Transmittal (or facsimile thereof), with any required
signature guarantees and any other required documents, should be sent to the
Exchange Agent
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and certificates representing the Old Debentures should be delivered to the
Exchange Agent, all in accordance with the instructions set forth in the Letter
of Transmittal and the Prospectus.

     If holders of Old Debentures wish to tender, but it is impracticable for
them to forward their certificates for Old Debentures prior to the expiration of
the Exchange Offer or to comply with the book-entry transfer procedures on a
timely basis, a tender may be effected by following the guaranteed delivery
procedures described in the Prospectus under "The Exchange Offer -- Guaranteed
Delivery Procedures."

     Any inquiries you may have with respect to the Exchange Offer, or requests
for additional copies of the enclosed materials should be directed to the
Exchange Agent for the Old Debentures, at its address and telephone number set
forth on the front of the Letter of Transmittal.

                                      Very truly yours

                                      Radian Group Inc.

Enclosures

     NOTHING HEREIN OR IN THE ENCLOSED DOCUMENTS SHALL CONSTITUTE YOU OR ANY
OTHER PERSON AS AN AGENT OF THE COMPANY OR THE EXCHANGE AGENT, OR AUTHORIZE YOU
OR ANY OTHER PERSON TO USE ANY DOCUMENT OR MAKE ANY STATEMENTS ON BEHALF OF
EITHER OF THEM WITH RESPECT TO THE EXCHANGE OFFER, EXCEPT FOR STATEMENTS
EXPRESSLY MADE IN THE PROSPECTUS OR THE LETTER OF TRANSMITTAL.

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