Maine Collection Agency Bond

The Maine Department of Professional and Financial Regulation is the authority that oversees the activities of debt collectors in the state. It requires all applicants for a Maine collection agency license to post a surety bond. Its purpose is to guarantee you will follow the Maine Fair Debt Collection Practices Act, as well as all other relevant laws.

The bond amount for getting a Maine debt collector license varies depending on the exact activities in which you want to engage:

• $20,000 - direct collections
• $15,000 - repossessions
• $5,000 - letter writing company

To get bonded, you have to pay a small percentage of the required amount, referred to as the bond premium. It is formulated after careful consideration of your personal and business finances.

Your surety has to examine your personal credit score, company finances, and any fixed and liquid assets you demonstrate. This is how it can set your exact surety bond cost, based on the level of bonding risk that you pose. The lower it is, the smaller premium you can expect to pay. Rates for applicants with stable finances are between 0.75% and 5%.

It is possible to get a bad credit bond via Lance Surety Bonds’ Bad Credit Surety Bonds program. Created for applicants struggling with low credit scores, tax liens, bankruptcies, and civil judgments, it’s an opportunity to obtain the bond that you need.

The rates are in the range of 5% to 10% due to the higher risk. As we partner with a number A-rated, T-listed surety companies, we are able to offer you a top bonding option despite your financial issues.

It is easy to start your bonding process by filling out our online application form (it takes 5min). Once we have your full set of documents, we can determine your exact quote. Then you can buy the bond online.  

Our How to Get Bonded page is a detailed resource on how bonding works. If you need more information, you can reach us at (877) 514-5146 to speak with our bonding specialists.

The goal of your Maine collection agency bond is to protect your customers against potential illegal activities on your side. Thus, if you engage in unlawful acts that harm a party, they can seek fair compensation via a claim. The bond amount that you posted is the maximum sum that a claimant can demand.

If the case is proven, you are liable to cover the costs. Initially, your surety may pay the claim, but you still need to repay it. Thus, it is best to avoid claims, as they can cause serious harm to your business.