Overview of Washington Collection Agency Bond Requirements

Any individual or business in Washington who wants to obtain a collection agency license needs to post a $5,000 collection agency bond to the Collection Agency Board at the Department of Licensing. Out-of-state collectors also require this bond, unless they already have a bond in the state they are located in, in which case they are eligible to request a waiver.

This bond is issued by the surety to serve as a guarantee that it vouches for the licensed agency and their compliance with the RCW, and any other provisions that concern collectors.

If a collector violates such provisions and causes and harm or losses to any person, and in particular to their clients, the latter may bring action upon the bond by filing a claim. Under a claim, compensation must be extended to cover such losses or damages. The amount of compensation extended by a surety can be as high as the full amount of the bond, also known as the bond’s penal sum.

See the sections below for more information about how much it costs to get bonded, how bond claims occur, and how to get a free quote and apply for your bond.

If you want to know more about how bonds work, and why businesses require them, see our ‘What is a surety bond’ guide!

Start your surety bond application today! Why us?
  • Quick turnaround - just 1-2 business days
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To speak to one of our professionals, call us at (866)-450-3412!

Cost of Obtaining a WA Collection Agency Bond

When you apply to get bonded, you need pay a surety bond premium. The premium is a fraction of the full amount of your bond. The surety determines how much exactly your premium should be on the basis of your personal credit score, as well as several other personal financial indicators, such as your financial statements and assets.

Applicants with high credit score, such as 700 FICO or above, are usually offered the lowest rates on their bonds. An applicant with such a score can get a Washington collection agency bond for as little $100.

You can get a quick estimate of your bond cost through our bond calculator or from the table below. To get an exact and free quote, simply complete our bond form and we will get in touch with your shortly!

Bond Cost Based on Credit Score
Surety bond amount Above 700 Between 650-699 Between 600-649 Below 599
Washington Collection Agency Bond $5,000 $100 $100-$125 $125-$250 $250-$500

Bad Credit Bond Program

Even if you have a low credit score, you can still get bonded!

Thanks to our highly professional surety partners, we can offer applicants with low credit score the opportunity to get bonded through our Bad Credit Program. This program allows applicants to obtain the bond they need in order to get licensed and perform business.

Applicants under this program pay slightly higher rates than applicants with high scores. Yet, if you improve your credit score, you can get a better rate as soon as it is time for you to renew your bond!

Rates under this program are determined on a case-by-case basis so make sure to get in touch and request a quote!

Bond Claims

The bond form for the Washington collection agency bond states that the bond requires licensed collectors to comply with Chapter 19.16 of the RCW as well as with any rules or regulations that are adopted in the state pursuant to that chapter. The bond further states that it obliges bonded collectors to pay any amounts that may be adjudged against them due to a violation of the chapter.

The RCW itself states that the bond is guarantees that collectors report and pay any collections they make on behalf of their clients. It further states that collectors need to comply with the agreements they have with their clients and customers.

When a collector violates any of the above conditions, their customers or any person who has a claim against them due to such a violation can file a claim against their bond to request compensation. The surety that backs the bond must the investigate the claim and extend compensation if the claim is legitimate.

Yet, under the bond agreement, it is the bonded party that is ultimately responsible for claims brought against the bond. This means that even if the surety covers a claim, the collection agency will need to reimburse it in full!

Apply for Your Bond Here!

Get started with your bond application by completing our bond form. We’ll contact you shortly with your free quote, along with more information about continuing the application process.

It may take up to two working days for your bond to be issued, once we have your full application. As soon as your bond is issued by the surety, we will forward it to you via standard mail and email.

Not ready to apply? Then simply get a free no-obligations quote, so you can see our low prices!

For any further questions you have about this bond or getting bonded, gives us a call at (866)-450-3412! We will be happy to assist you!


About the author:
Todd Bryant
Todd Bryant is a graduate of Germantown Academy and the University of Pittsburgh College of Business Administration Honors College. He has been President of Bryant Surety Bonds, Inc., an A+ rated Business with the Better Business Bureau, since 2007. Licensed as a producer with the Department of Insurance, he has been published in the National Association of Surety Bond Producers newsletter and on numerous authoritative publications such as The Washington Post, Entrepreneur.com, Azcentral.com and many more.