Maine Surety Bonds Explained
The state of Maine requires a variety of businesses and individuals to get a surety bond, to ensure compliance with certain laws and regulations. Most frequently, businesses who are getting or renewing their license or permit need a surety bond.
Before posting a surety bond, it’s important to know how it works. All surety bonds are a binding contract between three parties:
- A principal or the side obtaining the bond
- An obligee or the side requiring the bond
- A surety or the side backing the agreement
When a bonding company issues a surety bond, they essentially guarantee to the obligee that the principal will adhere to the terms of the agreement. If they fail to do so, the surety and the principal are jointly responsible for compensating any claims that can arise as a result.
The table below contains a list of surety bonds in the state of Maine. You can choose the one you need and begin your online application process.
For more detailed information about getting bonded in Maine, you can keep reading for some frequently-asked questions.
Find Your Maine Surety Bond
Investment Advisor (Blue Sky) BondUniform Surety BondMaine Securities Division
Collection Agency BondDebt Collector/Repossession (Continuous)Office of Consumer Credit Regulation
Debt Consolidators BondDebt ManagementBureau of Consumer Credit Protection
Professional Fund Raisers BondProfessional Solicitor or Commercial Co-VenturerDepartment Of Professional & Financial Regulation
Insurance Agents/Brokers BondInsurance Consultant's License BondBUREAU OF INSURANCE
Insurance 3rd Party Administrator BondInsurance 3rd Party Administrator BondDept of Professional & Financial Regulations
Mortgage Broker (1st & 2nd Mortgages) BondLoan BrokerOffice of Consumer Credit Regulation
Mortgage Lender/Banker (1st & 2nd Mort.) BondSupervised LenderBureau of Consumer Credit Protection
Small Loan Companies BondLOAN BROKERState Of Maine
Auto & Mobile Home Dealers (New & Used) BondMotor Vehicle DealerBureau of Motor Vehicles - Dealer and Agent Servic
Auto & Mobile Home Dealers (Used Only, No New) BondMotor Vehicle DealerBureau of Motor Vehicles - Dealer and Agent Servic
Detectives BondP.I., Investigative Assistant, or Contract SecuritState of Maine - Department of Public Safety
Employment Agencies BondNonprofit Organization BondMaine Dept of Labor
Professional Licenses (All Other) BondResidential Real Estate Property Peservation ServiState of Maine Bureau of Consumer Credit Protectio
Professional Licenses (All Other) BondPayroll Processor BondPayroll Processor Rocovery Fund
Turnpike/Bridge Toll BondTurnpike/Bridge Toll BondMaine Turnpike Authority
Utility Deposit BondRetail Store Bond (Central Maine Power Company)Central Maine Power Company
Telemarketing/Phone Solicitor BondTransient Seller of Consumer Merchandise BondOFFICE OF PROFESSIONAL AND OCCUPATIONAL REGULATION
Frequently Asked Questions
Who needs to post a surety bond in Maine?
Business and individuals alike can be required to post a surety bond. The three main categories of bonds, based on their purpose, are:
License bonds are needed for getting a business license or permit in Maine. Many businesses, such as auto dealers, mortgage brokers, and freight brokers, are required to post a license bond, which ensures compliance with state regulations and extends protection to their customers.
Contract bonds are required during the bidding and execution phases of many public and private construction projects. The purpose of these bonds is to protect the interests of projects owners, subcontractors, suppliers, and laborers.
- A court bond can be required when someone appeals a court decision or has been appointed guardian or fiduciary by a Maine court.
How much does a surety bond cost in Maine?
Surety bonds are paid for in premiums, usually annually or biannually, which are a certain percentage of the total bond amount. The total bond amount is determined by the state, and refers to the maximum amount of coverage that a principal might have to compensate a claimant for.
Premiums, on the other hand, are determined by the surety bond company and depend mostly on your personal credit score. A good credit score is considered a FICO of 650 or above, and applicants with a score in that range get premiums between 1% and 4%.
Sometimes other factors about the applicant can play a role in determining their surety bond costs as well. For more information, check our What Does a Surety Bond Cost? page. You can find some useful cost-saving tips there as well.
Can I get a Maine surety bond if I have bad credit?
Applicants with bad credit fall under the high-risk applicants category, meaning that surety bond companies assume a higher risk when underwriting bonds for them.
Some underwriters might be unwilling to assume the elevated risk, which is why we created our bad credit surety bonds program to help applicants with credit issues get bonded. Premiums for bad credit applicants range between 5% and 15%.
How do you get bonded in Maine?
The fastest way to get bonded in Maine is by using our secure online application. After submission, you will receive a free bond quote.
If you choose to proceed with your application, you will sign an indemnity agreement with the bonding company. Afterwards, we will do our best to get your bond form ready as soon as possible. If you need any assistance on our part, do not hesitate to call us at (877)-514-5146.
Most Popular Surety Bonds in Maine
This is a $25,000 bond required by the Bureau of Consumer Credit Protection of the State of Maine. It guarantees that the principal will faithfully perform the duties and obligations pertaining to the business of a loan broker, as outlined in the Maine Consumer Credit Code.
This bond is required of all licensed auto dealers by the State of Maine’s Bureau of Motor Vehicles. The specific bond amount is prorated based on the number of vehicles sold per year, ranging from $5,000 to $25,000.
This bond is required by the State of Maine’s Bureau of Consumer Credit Protection of all Mortgage Lenders licensed to do business in the state. Applicants should contact the obligee to determine their required bond amount.
Also known as BMC-84, this surety bond is required from all licensed freight brokers and freight forwarders to ensure compliance with FMCSA rules and regulations. It also extends protection to shippers and motor carriers.
А surety bond in an amount between $5,000 and $50,000 is required from licensed debt collectors in Maine. The bond guarantees sums collected on behalf of clients will be distributed to them in a timely manner.
A $10,000 telemarketer bond needs to be in place for all licensed telemarketers to ensure compliance with Title 32, Chapter 128, 14708, subsection 3 of the Maine Revised Statutes. The bond also safeguards the interest of consumers.