What is a Credit Repair Services Surety Bond?
Credit Repair Service Surety Bonds are license and permit surety bonds that protect clients against potential acts of fraud and misrepresentation of services at the hands of the credit repair service, and ensure that they operate in accordance with all applicable laws and regulations. If the principal (Credit Repair Service) does not comply with the terms of the bond, a claim can be filed with the surety company for relief. If the claim is valid, the surety will pay up to the penal sum of the bond to resolve the claim.
The principal is then required to reimburse the surety for all monies paid out, including any attorney fees incurred by the surety in the defense of the claim.
Who is required to have a Credit Repair Services Bond?
The Credit Repair Services Bond is required for businesses and organizations that offer their clients professional assistance in regards to the extension, reduction or renegotiation of credit. Credit repair services offer clients the expertise necessary to actually improve their credit score, history and record.
Which states require Credit Repair Service Surety Bonds?
Pacific Surety proudly offers Credit Repair Service Surety Bonds in the following states:
If you don’t see your state listed, please contact us with specific questions regarding your bonding needs and one of our knowledgeable underwriters will assist you.
What is the bond amount for Credit Repair Services Bonds?
The amounts for Credit Repair Services Surety Bonds are established at the local level, and are set by the laws and statutes regulating the industry in a given state. Therefore, bond amounts and requirements will vary from state to state. Please contact us with specific questions, and our knowledgeable underwriting staff will assist you.
How much do Credit Repair Services Surety Bonds cost?
Bond pricing for Credit Repair Services varies, and your premium will be based on the following factors:
- Amount of the bond
- Term length of the bond
- Personal credit for all owners with at least a 10% ownership stake in the business
Individuals with good credit can expect to pay 1%-5% of the bond amount. Qualified applicants could pay as little as $500 annually for a $50,000 Credit Repair Services Surety Bond. To find out how much your bond is going to cost, please complete our online application for your free, no obligation price quote.
Can I get a Credit Repair Services Bond with bad credit?
Pacific Surety offers a wide range of approvals, regardless of credit, for Credit Repair Services Bonds. Our strong surety relationships provide the ability to approve 99% of applicants, regardless of credit. Our knowledgeable underwriting staff will work with you to ensure you receive the lowest possible pricing for your bond. Applicants with substandard credit can expect to pay 5%-10% of the bond amount in premium. To see what rate you will qualify for, please complete our online application for your free, no obligation price quote.
Who issues Credit Repair Services Bonds?
The first step is to complete our quick online application for your free, no obligation bond quote. Submission takes only five minutes, and our underwriting staff will be in contact with you within a couple of hours with pricing. If you prefer to speak with our knowledgeable staff, please call 1-866-722-7873 and one of our Underwriters will assist you in applying for your bond.
After you receive approval, you must sign an indemnity agreement with the surety and provide payment for your bond premium. In most cases, we can issue bonds the same day we receive your signed documents and payment.