There are over 150 different types of Texas surety bonds needed by various professionals to operate legally in the state.
Our Texas bond guide below explains who needs a surety bond and the bonding process, in addition to helping you find the right surety bond.
What is a Texas Surety Bond?
A Texas surety bond is any type of bond required by an obligee for you to legally conduct work in the State of Texas (this also entails any court bonds needed for Texas court proceedings).
Obligees (the entities requiring the bonds) include The Secretary of State, municipalities like Austin and Houston, the Texas Department of Licensing and Regulation, and other regulatory bodies.
What is the Purpose of a Surety Bond?
A surety bond acts as a form of credit to you. It will pay your customers if you fail to complete the agreed-upon work. Or, in the case of some commercial bonds like a sales tax bond, it pays the government if you default on contractual obligations, such as remitting sales tax. The exception is a fidelity bond, which protects you or your clients from dishonest employees who may commit theft, embezzlement, forgery, etc.
Which Surety Bond in Texas Do You Need?
The obligee (the one requiring you to get the bond) should be able to provide a copy of the Texas surety bond form you need. However, if you are still early in the application process and haven't been given any forms, understanding the three main categories of surety bonds is a good place to begin your search.
- License and permit bonds - these types of bonds are required for various professionals to operate legally. Auto dealer bonds, mortgage broker bonds, and athlete agent bonds are some examples. Notary bonds for notary publics also fall into this category.
- Contractor bonds – businesses and individuals working on public construction projects are likely required to obtain a contractor bond. These contract bonds may include bid bonds, performance bonds, and payment bonds.
- Court bonds – Texas courts require these bonds for a variety of purposes. These include probate bonds or judicial bonds.
Find Your Surety Bond
|Texas (City of Copperas Cove, TX) Solicitation Bond||City of Copperas Cove, Texas||Copperas Cove||Apply|
|Texas (City of Port Aransas, TX) General Contractor Bond||City of Port Aransas||Port Aransas||Apply|
|Texas 7-11 Preformance Bond||7-Eleven, Inc.||Dallas||Apply|
|Texas Annual Contractor License Bond (City of Austin, TX)||City of Austin||Austin||Apply|
|Texas Athlete Agent Bond||Secretary of State||Austin||Apply|
|Texas Athlete Agent Financial Services Bond||Secretary of State||Austin||Apply|
|Texas Atmos Energy Utility Deposit Bond||Atmos Energy Corporation||Dallas||Apply|
|Texas Barber School Bond||Texas Department of Licensing and Registration||Austin||Apply|
|Texas Bingo Prize Fees Bond||Texas Lottery Commission||Austin||Apply|
|Texas Blanket Building & Construction Bond||City of El Paso - Development Services Dept||El Paso||Apply|
|Texas Blanket Building and Construction Bond (Town of Horizon City)||Town of Horizon City||El Paso||Apply|
|Texas Blanket Performance Bond||Railroad Commission of Texas: Oil & Gas Division||Austin||Apply|
|Texas BNSF Railway Company-Transportation Charges Bond||BNSF Railway Company||Fort Worth||Apply|
|Texas Book/Magazine Solicitors Bond||City of Euless Police Dept||Euless||Apply|
|Texas Building Contractor's Bond (City of Abilene)||City of Abilene||Abilene||Apply|
|Texas Business Opportunity Seller Bond||SECRETARY OF STATE - Statutory Documents Section||Austin||Apply|
|Texas Centerpoint Energy Utility Bond||CenterPoint Energy||Houston||Apply|
|Texas Certificate of Title Bond||Texas Department of Motor Vehicles||Houston||Apply|
|Texas Child and Adult Care Food Program Bond||Texas Department of Agriculture||Austin||Apply|
|Texas City of Galveston, TX -(Local) Payment & Performance Bond||City of Galveston||Galveston||Apply|
|Texas City of Irving Water-Wastewater Connection Permit Bond||City of Irving||Irving||Apply|
|Texas City of Sonora Electrical Contractor Bond||City of Sonora||Sonora||Apply|
|Texas Combative Sports Bond For Gross Receipts Tax||TX Dept of Licensing and Regulation||Austin||Apply|
|Texas Combative Sports Promoter Bond||Texas Department of Licensing and Regulation||Austin||Apply|
|Texas Commercial Telephone Solicitor Bond||Charitable Trust Section Consumer Protection Division||Austin||Apply|
|Texas Conduct Surety Bond||Texas Alcoholic Beverage Commission||Austin||Apply|
|Texas Consumer Debt Management Services Bond||The Office of Consumer Credit||Austin||Apply|
|Texas Continuous Bond of Seller (Sales Tax)||Dept. of Licensing||Austin||Apply|
|Texas Continuous Manufactured Housing License Bond||Dept of Housing and Conmmunity Affairs - MHD||Austin||Apply|
|Texas Contract/Alternating Resident and Non Resident Brewers and Manufactures Fee Interest Bond||Texas Alcoholic Beverage Commission||Austin||Apply|
|Texas Contractor License - Galveston, TX Bond||City of Galveston, TX||Galveston||Apply|
|Texas Contractor License Bond (City of Amarillo, TX)||City of Amarillo||Amarillo||Apply|
|Texas Contractor License Bond (El Campo, TX)||City of El Campo||El Campo||Apply|
|Texas Contractors Bond (City of Midland, TX)||City of Midland||Midland||Apply|
|Texas Credit Services Organization Bond||Secretary of State||Austin||Apply|
|Texas CREDIT SERVICES ORGANIZATION SURETY Bond||STATE OF TEXAS||Austin||Apply|
|Texas Customs Broker Bond||Texas State Comptroller||Houston||Apply|
|Texas Development Services Blanket Building and Construction Bond||City of El Paso||El Paso||Apply|
|Texas Development Services Dept Blanket Building & Construction Bond||City of El Paso||El Paso||Apply|
|Texas Discount Health Care Program Operator Bond||Texas Department of Insurance||Austin||Apply|
|Texas Driver Education School Bond||Texas Education Agency||Austin||Apply|
|Texas Driver Education School Bond||TEXAS EDUCATION AGENCY||Austin||Apply|
|Texas El Paso, TX, Engineering & Construction Management Blanket Building & Construction Bond||City of El Paso||El Paso||Apply|
|Texas Engineering & Construction Management Blanket Building & Construction Bond||City of El Paso||El Paso||Apply|
|Texas Environmental Monitoring Facility Removal Closure and Restoration Bond||City of Houston Department of Public Works||Houston||Apply|
|Texas Equipment Use Bond||BNSF Railway||Fort Worth||Apply|
|Texas For-Profit Legal Services Contracts Bond||Department of Licensing and Regulation||Austin||Apply|
|Texas General Contractor Bond (City of Lockhart, TX)||City of Lockhart||Lockhart||Apply|
|Texas General Contractor License Bond||City of Galveston||Galveston||Apply|
|Texas General Contractor's Bond||City of Olmos Park||San Antonio||Apply|
|Texas Grain Warehouse Schedule D- Operator Bond||Texas Department of Agriculture||Austin||Apply|
|Texas Gross Receipts Tax Bond||Texas Comptroller of Public Accounts||Austin||Apply|
|Texas Guaranty Bond||City of Dallas Water Department||Dallas||Apply|
|Texas Health Spa Bond||Secretary of State||Austin||Apply|
|Texas Home Improvement Contractor Bond (City of Converse)||City of Converse||Converse||Apply|
|Texas Home Improvement Contractor's/Salesman Bond||City of Kirby||San Antonio||Apply|
|Texas Insurance Agency Bond||Department of Insurance||Austin||Apply|
|Texas International Fuel Tax License Bond||Comptroller of Public Accounts||Austin||Apply|
|Texas Liquor Tax Bond||Texas Alcoholic Beverage Commission||Austin||Apply|
|Texas Medicaid Provider Bond||Medicaid & Health Partnership||Austin||Apply|
|Texas Metal Recyclers, Metal Dealers or Secondhand Resellers Bond||City of Houston, TX||Houston||Apply|
|Texas Money Services Bond||Texas Banking Commissioner||Austin||Apply|
|Texas Mortgage Lender Bond||Dept of Savings and Mortgage Lending||Austin||Apply|
|Texas Motor Fuels Tax (Diesel) Continuous Bond||Comptroller of Public Accounts||Austin||Apply|
|Texas Motor Fuels Tax (Gasoline) Continuous Bond||Comptroller of Public Accounts||Austin||Apply|
|Texas Motor Vehicle Dealer Bond||Department of Transportation - Motor Vehicle Division||Austin||Apply|
|Texas Navigator Entity Bond||Texas Department of Insurance-Financial Regulation||Austin||Apply|
|Texas Nursing Homes Bond||Texas Department of Aging & Disability Services||Austin||Apply|
|Texas Outdoor Advertisers Bond||Department of Transportation||Austin||Apply|
|Texas Over Axle and Over Gross Weight Tolerance Permit Bond||Dept. of Motor Vehciles, Motor Carrier Division||Austin||Apply|
|Texas Paving Bond (City of Dallas)||City of Dallas||Dallas||Apply|
|Texas PERSONNEL EMPLOYMENT SERVICES SURETY Bond||Texas Department of Licensing and Regulation||Austin||Apply|
|Texas Pole Attachement Bond||AEP Texas Central Company||Corpus Christi||Apply|
|Texas Polygraph Examiner Bond||Department of Licensing and Regulation||Austin||Apply|
|Texas Private Child Support Enforcement Agencies Bond||Texas Department of Banking||Austin||Apply|
|Texas Professional Employer Organization Bond||Texas Department of Licensing and Regulation||Austin||Apply|
|Texas Public Insurance Adjuster Bond||Texas Department of Insurance||Austin||Apply|
|Texas Public Safety Organization, Independent Promoter Bond||Texas - Office of Attorney General||Austin||Apply|
|Texas Real Estate School Bond||Texas Real Estate Commission||Austin||Apply|
|Texas Residential Mortgage Loan Servicer Bond||Dept of Savings and Mortgage Lending||Austin||Apply|
|Texas Residential Service Company Bond||Texas Real Estate Commission||Austin||Apply|
|Texas Sales Tax Bond||Texas Comptroller of Public Accounts||Austin||Apply|
|Texas Service Contract Provider Bond||State of Texas||Austin||Apply|
|Texas Service Contract Provider Surety Bond||State of Texas||Austin||Apply|
|Texas Sexual Oriented Business Bond (County of Ector)||Ector County- Sgt. Lewis||Odessa||Apply|
|Texas Staff Leasing Service Bond||TX Dept of Licesning and Regulation||Austin||Apply|
|Texas Subscription Program Bond||Texas Department of Health||Austin||Apply|
|Texas TABC - Performance Bond||Texas Alcoholic Beverage Commission||Austin||Apply|
|Texas TALENT AGENCY BOND||Texas Depertment of Licensing and Regulation||Austin||Apply|
|Texas Tax Bond||Texas Alcoholic Beverage Commission||Austin||Apply|
|Texas Taxable Fuel Bond Certification||Department of the Treasury||Houston||Apply|
|Texas Telephone Solicitation Bond||Office of Attorney General||Austin||Apply|
|Texas Texas Escrow Officers Schedule Bond||Texas Department of Insurance||Austin||Apply|
|Texas Texas-New Mexico Power Company Utility Bond||Texas New Mexico Power Company||Lewisville||Apply|
|Texas Third Party Debt Collector Bond||Secretary of State, Statutory Documents Section||Austin||Apply|
|Texas Title Insurance Agent's Direct Operation's Bond||Department of Insurance||Austin||Apply|
|Texas Utility Deposit Bond||CenterPoint Energy, Inc.||Houston||Apply|
|Texas Utility Deposit Bond (City of Houston)||City of Houston||Houston||Apply|
|Texas Utility Payment Bond (Desoto, TX)||City of Desoto||Desoto||Apply|
|Texas Utility Services Bond||ATMOS ENERGY||Dallas||Apply|
|Texas Vendor's Bond||CITY OF PLACIOS||Palacios||Apply|
|Texas Veterans Organization Solicitor's Bond||Secretary of State Registrations Unit||Austin||Apply|
|Texas Wage and Welfare Bond (Local Union #68)||U.A. Plumbers Local Union No. 68||Houston||Apply|
|Freight Broker Bond (BMC-84)||FMCSA||N/A||Apply|
|Auto Dealer Bond (motor vehicle dealer bond)||Varies||Varies||Apply|
|Contractor License Bond||Varies||Varies||Apply|
|Mechanics Lien Bond||Varies||Varies||Apply|
|Health Club Bond||Varies||Varies||Apply|
|Medicare/Medicaid Bond (DMEPOS)||Varies||Varies||Apply|
|Insurance Broker Bond||Varies||Varies||Apply|
|Public Adjuster Bond||Varies||Varies||Apply|
|Surplus Lines Broker Bond||Varies||Varies||Apply|
|Title Agency Bond||Varies||Varies||Apply|
|Mortgage Broker Bond||Varies||Varies||Apply|
|Mortgage Lender Bond||Varies||Varies||Apply|
|Vehicle Title Bond (bonded title)||Varies||Varies||Apply|
|CPEO Bond (Certified Professional Employer Organization)||IRS||N/A||Apply|
|Collection Agency Bond||Varies||Varies||Apply|
|Fuel Tax Bond||Varies||Varies||Apply|
|Immigration Consultant Bond||Varies||Varies||Apply|
|Marijuana Surety Bond||Varies||Varies||Apply|
|Private School Bond||Varies||Varies||Apply|
|Process Server Bond||Varies||Varies||Apply|
|Public Official Bond||Varies||Varies||Apply|
|Money Transmitter Bond||Varies||Varies||Apply|
|Sales Tax Bond||Varies||Varies||Apply|
|Small Loan Companies Bond||Varies||Varies||Apply|
|Travel Agency Bond||Varies||Varies||Apply|
|Business Service Bond (Fidelity Bond)||N/A||N/A||Apply|
|Employee Dishonesty Bond (Fidelity Bond)||N/A||N/A||Apply|
|Janitorial & Cleaning Bond (Fidelity Bond)||N/A||N/A||Apply|
|Financial Institution Bond (Fidelity Bond)||N/A||N/A||Apply|
|ERISA Bond||Employee Retirement Income Security Act||N/A||Apply|
|Bid Bond (Contract Bond)||Varies||N/A||Apply|
|Performance Bond (Contract Bond)||Varies||N/A||Apply|
|Payment Bond (Contract Bond)||Varies||N/A||Apply|
|Supply Bond (Contract Bond)||Varies||N/A||Apply|
|Maintenance Bond (Warranty Bond)||Varies||N/A||Apply|
|Bankruptcy Trustee Bond (Court Bond)||Court Requirement||N/A||Apply|
|Fiduciary Bond (Probate Bond)||Court Requirement||N/A||Apply|
|Guardian Bond (Court Bond)||Court Requirement||N/A||Apply|
|Injunction Bond (Court Bond)||Court Requirement||N/A||Apply|
|Receiver Bond (Court Bond)||Court Requirement||N/A||Apply|
|Supersedeas Bond (Appeal Bond)||Court Requirement||N/A||Apply|
|Replevin Bond (Court Bond)||Court Requirement||N/A||Apply|
Most Common Surety Bonds in Texas
The most commonly needed license bonds in Texas are as follows:
Certificate of Title Bond – Needed to transfer the ownership of a vehicle that has a lost/inaccurate title.
Contractor License Bond – Required to perform contracting work in several cities across Texas. Keep in mind that there are no contractor license bonds required by the state itself, only cities and towns. Depending on the type of work and where you're performing it, you may need both a contractor license bond and contract bonds.
Texas Freight Broker Bond – Also referred to as a BMC-84 bond, this bond is required for brokers by the Federal Motor Carrier Safety Administration (FMCSA).
Texas Public Insurance Adjuster Bond – This bond is required by the Texas Department of Insurance for all insurance adjusters.
Texas Title Insurance Agent Bond – Per the Texas Title Insurance Act, all title insurance agents must post a bond prior to conducting business in the state.
Texas Third Party Debt Collector Bond – All third-party debt collectors in Texas need this bond to operate legally.
Texas Credit Services Organization Bond – Required by The Secretary of State. This bond ensures that the principal (bond holder) acts in accordance with Chapter 393 of the Finance Code.
Texas Mixed Beverage Sales Tax Bond – Required to sell mixed drinks. Generally paired with the Texas Mixed Beverage Gross Receipts Tax Bond.
How to Get a Surety Bond in Texas
Getting a Texas surety bond is generally an easy process that is complete within a couple days. Below is generally what you can expect from the bonding process.
- Fill out a bond application.
- Once your bond is approved, you will get a quote and an indemnity agreement.
- Sign the agreement and email or fax it back to your bond provider.
- Pay the invoice online.
You will receive a copy of the surety bond in an email once everything is processed. Additionally, the original bond will be sent to you in the mail.
How to Get License and Permit Bonds
Texas requires license and permit bonds in order to get licenses/permits for many different professions. You can find the full list of license and permit bond requirements for Texas by using our bond requirement search tool.
How to Get Court Bonds in Texas
Court bonds can be required by the courts for various reasons. For example, you'll need an appeal bond in Texas if you want to appeal a court decision. If you want to become a legal guardian of a minor/disabled individual, you'll need a guardianship bond. Lastly, you will need a probate bond if you want to operate as a fiduciary of an estate. Apply for a court bond here.
How to Get Contract Bonds for Public Jobs
Construction bonds such as bid bonds and performance bonds are needed to bid bonds and work on public construction jobs. However, they're typically required by cities or municipalities as opposed to the state. Learn more about the process of getting bonded for jobs by reading our construction bond guide.
What are the Requirements for a Surety Bond in Texas?
Surety companies may need financial statements and a credit report when assessing your eligibility for a bond. They want to know that you can pay bond claims if they happen and that you can handle the responsibilities tied to a bond.
How Long Does It Take to Get a Surety Bond in Texas?
When you go with an experienced surety company, bonding is a quick and painless process that can be done in as little as a day or two. Larger bonds and performance and payment bonds often require a little extra processing time.
How Long Does a Surety Bond Last?
When it comes to surety bonds there are renewable bonds and continuous bonds. Renewable bonds are valid anywhere from 1-4 years before they need to get manually renewed. Continuous bonds are automatically renewed every year until canceled. Any expiry dates will be laid out in your bond's paperwork.
Texas Surety Bond Costs
"How much will my surety bond cost?" is one of the most common questions. Bond costs are generally 1-10% of the full bond amount that's required of you in Texas. So, for example, if you need a $10,000 bond, your costs could be anywhere between $100 - $1,000.
Bond cost varies drastically depending on the bond amount required of you and your rate. Your rate is determined by an underwriting process. An underwriter will look at your financial statements, credit score, past bonds to determine your financial strength.
Can You Get Bonded with Bad Credit?
It's possible to get surety bonds with bad credit in Texas, but it will depend on the bond type you need and how serious your credit issues are.
You can get approved for most license and permit bonds even with bad credit. It's also possible to get approved for court bonds with credit issues, but again, this will depend on how serious the issues are.
However, it's harder to get contract bonds with credit issues. You may be able to get contract bonds with minor credit problems, but you'll probably be limited to smaller projects. Unfortunately, it's almost impossible to get approved for contract bonds with severe credit issues such as large collections or civil judgments (unless you're a larger contractor with strong CPA business financials).
Frequently Asked Questions
Apply, get approved online, submit the indemnity agreement, and pay for the bond online. Then we will ship the original bond to you using your preferred method of shipping.
You need to contact the surety company's claims department and present proof that the claim is false.