Montana Escrow Agent Bond Requirements
Any company in Montana that “engages in commercial activity characterized by the regular and continuous carrying on of escrow transactions” must get a business license from the Division of Banking and Financial Institutions.
As part of the licensing process, you must obtain a $100,000 escrow agent bond.
Why Is This Bond Required?
The Regulation of Escrow Businesses Act (Section 32-7-1, Montana Code Annotated) requires all licensed escrow businesses in the state of Montana to get a surety bond. Under the Administrative Rules (Rule 2.59.704) that bond must be in an amount of $100,000.
The bond is conditioned on licensees conducting escrow business in accordance with the requirements of the above laws and rules. It must be renewed annually, along with the license.
If an escrow agent violates the above regulations and thereby the conditions of their bond, a claim can be raised against the bond to obtain compensation for damages. The surety must then investigate the case and compensate claimants, possibly up to the full penal sum of the bond.
If you don’t know how bonds work or want to know more about why they are required of businesses, see our detailed ‘What is a surety bond’ guide!
For more information about getting an escrow business bond in Montana and its cost, see the sections below!
If you’d like to speak to one of our experts about the bonding requirements for escrow agents in Montana, call us at 866.450.3412 anytime.
How Much Does the Montana Escrow Agent Bond Cost?
The cost of your escrow agent bond is a fraction of its full amount. In Montana, escrow businesses must get a $100,000 bond.
To offer you a quote, sureties will typically evaluate several parts of your finances. These are as follows.
Factors That Determine Your Bond Cost
Applicants’ personal credit score is the primary factor that sureties consider when setting a bond rate. The higher an applicant’s score is, the cheaper and easier it will be for them to get bonded.
In addition to your credit score, the surety will likely also want to review other aspects of your financials. These may include:
- Personal and business financial statements
- Fixed and liquid assets
- Work experience and record
To learn more about how sureties determine rates, see our detailed surety bond cost guide!
Do you want to get an estimate on the cost of your bond? See the table below!
| Montana Escrow Agent Bond Cost Based on Credit Score | |||||
| License type | Bond Amount | Credit Score | |||
| Above 700 | 650-699 | 600-649 | Below 599 | ||
| Escrow business | $100,000 | $1,000-$3,000 | $1,000-$3,000 | $1,000-$3,000 | $3,000-$5,000 |
* The table provides a bond cost ballpark estimate based on the applicant's credit score. Actual bond prices can differ due to a number of factors. For an exact quote, please complete our online application. It's fast and 100% free!.
How to Get Your Montana Escrow Agent Bond
If you’re ready to apply for your bond, click on the banner below. Complete the bond application form.
After we process your application, we will provide you with a free quote, along with more information about completing the bonding process.
Do you have any questions about getting a bond in Montana? Call us at 866.450.3412!
