Search By Bond Name:
Surety Bond Blog
Many people that are required to obtain a surety bond have never heard of them. In fact, 1 out of 5 calls I receive are from a client who do not even pronounce the word surety correctly. A common question from our clients is, “Why do I need a surety bond?”.
The obvious answer is because the obligee is requiring it of you in order to do business with them. The real question is, why is the obligee requiring the bond of you? If you are in need of a commercial bond then it is not in place to cover you (the principal), but anyone you will be doing business with. Contract bonds are in place to guarantee the work will be completed per the terms of the contract. Court bonds are required for a variety of different reasons. For instance guardianship bonds are required by the court to assure the guardian will act in the best interests of the minor/incapacitated person. Other court bonds such as appeal bonds are required to ensure the defendant will not flee if found guilty.
There are numerous reasons as to why bonds are required. The best way to find out why your bond is required is to actually read a blank copy of the bond and find out exactly what it is guaranteeing. Each bond form is specific, above is only a generalization of what a bond guarantees.
If you have any questions on your specific bond type, please post a comment and I will be glad to help you better understanding of why you are required to obtain your bond.
IM INTERESTED IN A SURETY BOND FOR MY DOG I DIDNT SEE ANYTHING RELATED TO A SURETY BOND FOR A DOG CAN YOU TELL ME WHETHER YOU CARRY BONDS OF THIS NATURE
I am assuming you are required to post a bond for your dog due to it’s breed? We don’t write that line of business, but there are agencies that do.
Try a google search for “surety bond dog”.
What is a bond without surety? And why would I need one if the business is not open? Do you need one if a will is completed?
Your question needs some rephrasing. Let me clarify…
A surety, also known as a bonding company is who guarantees your performance, or "bonds" it. These bonds are referred to as surety bonds.
As for court bonds, they are only required when deemed so by the courts, who are typically told what to do by state legislatures.
I am thinking of starting a business where translators respond to the scene of a crime and translate info to police officers since there is no officer who speaks the language. Would I need to bond each translator? Any idea how much or what type?
I have never heard of a required bond for translators, as it would be near impossible to guarantee.
Thank you for your quick response!
i am required to post an unemployment bond and yet if someone files for unermployment, i foot the entire bill. what purpose does this bond serve and how much should it be?
It sounds like the bond is a financial guarantee to ensure you can cover the costs of the unemployment. If you default, the bond kicks in to protect the former employees. However, the bonding company will no doubt require indemnity agreements, meaning that they will come to you to for payment on any surety losses.
This page might help to explain it all better: http://www.jwsuretybonds.com/info/videos/l1-what-…
my husband is out of jail on a surety bond. he keeps leaving the state. is this legal. if he had permission from te court, wouldn't it show on the court records?
Nanci, that would be a bail bond. The only type of surety bond we don't handle.
Why would the owner of a car lot need a surety bond? Especially if the bond is to protect the customer. It sounds like if anyone needs to be protected it would be me, not my customers, since they have my car that I haven't received full payment for yet.
Jordan,
It doesn't always work that way. A lot of times the bonds help to protect the public from fraudulent dealers. I have seen several dealers sell the same car to more than one person.
I have supposidly won a contest and they want me to have a surety bond of 1% of the winnings to guarantee the delivery. I'm thinking they are the ones that should have the bond? If it is my winnings, why would I need this?
Paula,
You are absolutely right. Surety bonds for raffles guarantee that the prize will be awarded and they aren't just selling tickets.
Send them here if they are confused and I'll try to help!
I plan to get Surety bond for my 1985 Grand Prix Pontiac and my home how would I start this process please detail your reply thanks
Maryann,
You are in need of a "lost title bond". We don't write them, but many do! Just try a google search and you should be able to apply with an agecy offering them.
I'm wondering what the difference is between a surety bond and a notary bond. I already have a notary bond and I'm looking to start a freight broker business. Not sure what that all entails.
A notary bond is a type of surety bond.
As a freight broker you will be in need of a BMC-84 Freight Broker Surety Bond.
To my knowledge, we are the only agency actively writing the freight broker bond right now. You'll find that others do not write it or require 100% collateral.
With us, you can get approved instantly online by our website.
The state of MA is requiring me to get a surety bond. I'm trying to claim stocks that the state is holding of my deceased mother. Why is this needed?
Judi,
I have heard of such a requirement, but have not ran into one in years. Also, I should mention, this is one of the few surety bond types our agency does not write.
I believe you are being required to post the bond to ensure you are the rightful owner. It is possible anothe relative could surface to say they are due some of the stock ownership as well.
I own a Jazzercise Fitness Center and I am wanting to sell a 1 year membership. I live in KY and have been told I need to be bonded. What type of bond do I need to get?
Jenny, you need a health club surety bond. Here are some details on the Kenthucky health club bond you need. Just follow the links to apply and pay for your bond instantly online.
Let me know if you have any questions.
I own and operate a housecleaning business (no employees). If my customers do not require one of me, do I need a surety bond covering theft? What would it accomplish? Especially since I know there would not BE theft, but I guess there is always the possibility of an accusation. As a well-established business, I am starting to think that the bond we have maintained is now unnecessary.
Joe,
Just to clarify…since no one if requiring the bond of you, it is NOT a surety bond. You have a fidelity bond in place, a type of insurance that should really be called "fidelity insurance" to lessen confusion.
Fidelity policies usually only pay out if there is a conviction. Therefore, I think the only thing it is providing it peace of mind to your clientel.
Hi,
I am thinking of opening a Hard Money Lending Business. What bond would I need for the borrowers? Can I get such a bond?
Chris,
That type of loan is guaranteed by real estate assets, no? Regardless, bonding companies won't have interest in making that kind of guarantee.
There may however be a bond requirement for your company by the states you choose to operate in. The bond would be in place to protect your clients from your company, not the other way around.
Let me know what states you plan to operate in and we can help guide you.
I'm starting a modeling/talent agency in the state of Florida, no employees, just ICs. As per license requirements in the state for a talent agency, it says a $5K surety bond is needed. As I'm researching, it seems these are most common for contractor/commercial roles, where a 'job' could take weeks/months, where my services are provided in a matter of a day or two. Is this $5K bond really necessary, and do I have to pony up $5K annually or one time? Thanks!
Hi Vicki,
Before you get started, you may want to check with the to see if you are required to post the bond or not. Bond premiums are always fully earned the first year, which means no refunds on cancelled bonds so it is important to ensure you are required to obtain the bond.
The Florida Talent Agency Bond will not require you to post $5,000 cash. You would pay a percentage of the bond amount as your annual premium.
Our website will actually allow you to get approved and pay online within minutes.
I already have a surety bond for my father's estate as executor…why do I need to renew it every year??
The bond guarantees your faithful execution of the estate. The surety incurs liability each year that you are handling the estate. Therefore, new premium is required each year.
If the auto dealer was fraudulent to many customers and is arrested and asked to post a $5K surety bond how do the customers end up getting their money back. This was a case where the auto dealer sold the same car to several customers
Sandy,
If the 5K bond is a bail bond, you will need to pursue them legally.
If it's an auto dealer bond, you will want to find out which bond company wrote their bond and contact them to file a claim on the dealer's bond.
A bank is asking me for a bond in order to receive unclaimed property.
Why would you need to bond with a bank, if they hold unclaimed property in your name?
Jason,
This sounds like a lost instrument bond and we don't handle them.
Contact a local insurance agency.
I am starting a medicaid transportation company and the company who sends out the business or clients is requiring a surety bond. What kind is this
Medicaid transportation business. What type of bond is needed and also I was told I need the amount to be 25000. What is the cost of that?
Nathaniel,
It sounds like you're looking for a Medicare/Medicaid bond. Costs vary quite a bit depending on the personal credit of the owners.
You can apply for a free quote on our website here https://www.jwsuretybonds.com/protools.htm
I am going to do lawn mowing work for my subdivision and they will be paying me $40/wk. They are wanting me to provide proof of insurance and bond. I am not a business, just a homeowner trying to help out. Also, I own this land, which is considered open space. Is this legal? BTW will not be making any profit from this if that matters.
Bob,
It sounds like they may want you to obtain a fidelity bond or a private type of bond, which we don't handle. You can obtain those at a local insurance agency.
Contact the subdivision to find out exactly what type of bond they are requiring of you.
I want to buy and sell cars for profit. In FL I can only do this 3x before needing a dealers lic. I need a $25000 surety bond. What does this mean? Do I have to fork over $25000 to the state just to sell cars on the side? That seems a bit strange.
Thank You
Ryan,
No, you only need to pay a percentage of the $25,000, which will be based on your personal credit.
You can get a 10 second estimate here http://www.jwsuretybonds.com/estimate.php
Or you can get a free quote on our website here https://www.jwsuretybonds.com/protools.htm
What type of Bond is needed for a property preservation/trashout cleaning service in NY/NJ and what type of insurance is needed.
Gregory,
We only handle surety bonds, so I can't help you with insurance.
Is anyone requiring a bond of you?
i have been told i need a surety bond to refinance my double wide because it was never registered or titled. There was a title company company involved in the original sale of the double-wide in a land-home agreement. But why do i need a surety bond to refinance 10years later?
Mikel,
I can't help you out with this, as we don't handle vehicle title bonds.
Try contacting a local insurance agency.
I am starting a small residential cleaning company, what type of bond do i need for the state of michigan, and why?
Darnice,
I'll need some more information in order to help.
Is the state requiring a bond of you?
My wife is the legal guardian of her artistic son, age 27. She is required to pay $50.00 per year on a $8,000. Her question is why is this necessary since the court has awarded her legal guardianship.
Ray,
This is a question that you'll want to ask an attorney. This isn't something we are familiar with and can answer accurately.
Hello,
I want to take a loan from someone to invest in a business they want a 5% surety bond on the amount of money that they would be loaning me.
How does this work? Is the loaner responsible for the paper work? Do I get that 5% back or is it just a form of collateral?
Thanks
Hi there,
Unfortunately I can't offer any accurate information, as we don't handle this type of bond.
hello. I’ve been ordered in court to obtain a surety bond in the amount of $2,500 visitations with my son are suspended until I do. the bond is to ensure I keep my minor child away from one individual. I’m unsure about how to get this type of bond and every company I call is clueless to what I’m talking about. please help me by explaining what this is and how I can get one. I need to know also if there is a way to do this inexpensively. this is in Oklahoma. thank you.
Sam,
I just spoke to our court bond department, and they have never heard of anything like this.
Your best bet is to contact the court and determine exactly which type of bond they are requiring of you.
My brother recommended I would possibly like this blog. He was once entirely right. This post truly made my day. You cann’t believe just how much time I had spent for this information! Thank you!
I'm happy we were able to help!
I bought a car and lost the title, i have to get a bonded title. My question is if i get a bonded title and pay for a surety bond on it, will i get the money back?
Aaron,
If you're referring to the surety bond premium, no you will not get the money back. Bond premiums are fully earned.