Indiana Collection Agency Bond

Obtaining an Indiana collection agency license entails meeting a list of requirements set by the Securities Division of the Indiana Secretary of State. They include providing a $5,000 surety bond. It acts as an extra guarantee that you will comply with state laws, such as Title 25 of the Indiana Code.

The Nationwide Multistate Licensing System & Registry (NMLS) handles the licensing procedure, so you have to submit your application and documents via its website.

If you want to get an Indiana collection agency license, you have to obtain a $5,000 bond per location. This is the bond amount, but you have to cover only a fraction of it, called the bond premium. Applicants with solid finances usually get rates between 0.75% and 5%.

In order to set your surety bond cost, your surety has to take a close look at your personal credit score, business finances, and fixed and liquid assets. By doing this, it can assess how risky it is to get you bonded. The better your overall profile is, the smaller your premium can be.

Lance Surety Bonds operates its Bad Credit Surety Bonds program for applicants facing financial issues. If you are struggling with low credit scores, tax liens, bankruptcies, and civil judgments, this is a great bonding option.

Due to the higher bonding risk, the premiums in this program are between 5% to 10%. Still, we strive to offer you top bonding rates, whatever your credit score is. This is possible because we foster close partnerships with a number of A-rated, T-listed surety companies.

It is easy to get started with your bonding. You need to complete our online application form (it takes 5min) and provide your paperwork. Then we can assess your exact quote. You can purchase your bond online, and we will send you both a digital and a paper version of it.  

Would you like to learn more about the intricacies of the bonding process? You can review our in-depth How to Get Bonded guide.

For further questions, don’t hesitate to call us at (877) 514-5146.

Your collection agency bond protects your customers in the state of Indiana. Thus, if you engage in fraudulent or illegal activities, a harmed party can file a claim against the bond. This is how they can seek reimbursement for suffered damages.

The maximum penalty for proven claims is up to the bond amount provided during licensing. At first, your surety may fully compensate the claimant. As the bond indemnity agreement places the full liability with you, you have to cover all costs afterwards.