Holiday Schedule: July 4th
06/30/2008
Bryant Surety Bonds will be closed on Thursday, July 3rd for Independence Day Weekend; we will return on Monday, July 5th. We hope you all have a safe and pleasant holiday. While we are closed, please explore our website for information on surety bonds, and when you are ready, use our free online application. We look forward [...]
Mortgage Apps drop to over 6 year low?.Rates also Fall
06/25/2008
Mortgage applications for the week ended June 20 dropped 9.3%, the lowest since December 28, 2001.
Borrowing for a 30 year fixed-rate mortgage averaged 6.39% in last week, down 0.18 percentage points from the previous week, this is also below the average 6.60% of a year ago.
This is a very popular question of new applicants; but what they do not know is just how hard this can be to "ballpark". Surety Bond premiums very based on several factors. In general, those applying for a commercial bond will fall into two approval categories: the standard surety bond market, and a high-risk market. Depending on which market you fall in will vary greatly your surety bond cost.
The standard surety bond is reserved for those with good personal credit, and strong business and personal financials. Any company that cannot provide business financials (new companies) will have to submit resumes of management that show solid industry experience. A rough estimate of the standard market surety bond cost, or premium, would be 1%-4% of the required bonds size. Please remember that this is a broad range because bonds are underwritten on a case-by-case basis, and therefore premiums can be affected by several factors on your application.
The bad credit surety bond market is available for those with poor, or no credit. This program allows these high-risk individuals to be approved by charging a higher premium then the standard market. Applicants with poor credit (a loose rule of thumb is below a 650), bankruptcies, tax liens, unpaid collection, or civil judgments can expect to be placed in the high-risk program. Once again these are very loose guidelines as every applicant is taken on a case-by-case basis. The cost of a high-risk surety bond will typically vary between 10%-15%, though in rare cases some premiums are as high as 20%
