Popular Houston, TX Surety Bonds
Overview of Houston Surety Bonds
Surety bonds are required in a variety of cases. Businesses in Houston who apply for a license may be required to post a surety bond, as a guarantee that they will comply with the Texas Administrative Code and any other statutes pertaining to their business.
Contractors in Houston who bid on state or federal contracts, or who perform work on such projects, are usually also required to obtain a variety of surety bonds. These bonds guarantee that the contractor will comply with all the rules for bidding on a contract, perform their job in accordance with the construction contract they have signed, and pay their laborers, material suppliers, and all subcontractors.
Sometimes bonds are also required in court proceedings in Houston. Often, court bonds are necessary when a court decision is appealed or someone is appointed as a fiduciary.
In any of these cases the bonded party (the bond principal) has an obligation to comply with the conditions of the bond and with state regulations. If they violate these, a claim can be made against the bond and the claiming party may receive compensation from the surety bond company. Such compensation may be as high as the full penal sum of the bond, also known as the bond amount.
Have a look at our detailed ‘What is a surety bond’ guide to understand how surety bonds work.
Below you can find information regarding the cost of bonds in Houston, getting bonded with bad credit, and how you can apply for your surety bond today.
Call us at 866.450.3412 if you have any questions that are left unanswered. We’ll be happy to help.
Cost of Surety Bonds in Houston
Surety bond cost is dependent on two factors: the amount of the bond, and the personal financial profile of the applicant. Some bonds, such as the auto dealer bond, have fixed amounts, while others vary depending on the applicant. Bonds may also vary in their amounts within the same state– from county to county or city to city.
The cost is always a fraction of the total bond amount, and that fraction is determined by the surety on the basis of factors such as the personal credit score of the applicant, their financial statements, their professional experience and more.
If an applicant has a high credit score, they will usually be offered a low rate by the surety. Respectively, the lower the credit score of an applicant, the lower their rate will be.
To find out how much your bond might cost, complete our surety bond application. We will supply you with a free quote on your bond, with no obligations attached.
Getting Bonded With Bad Credit
If you need to get bonded but have a low credit score, you don’t need to worry. Apart from applicants for contract bonds, all other applicants can get bonded even if they have bad credit.
Our Bad Credit Program makes this possible. Rates under this program are slightly higher than those for applicants with high scores– but allow our clients to do the business they want to. And by improving their credit score, all our clients can get better rates when they apply for a new bond at a later time.
Read more about getting bonded under this program on the program page, or contact us to find out more.
How to Get Your Surety Bond in Houston
To apply for your bond, just submit our application form! We will provide you with a free quote on your bond and further details how to complete your application.
Your bond will be issued within two days of receiving your complete application. As soon as it is issued we will provide you with a digital copy of it, as well as send you the original via standard mail.
Don’t hesitate to call us at 866.450.3412 if you have any further questions about the bonding requirements in Houston, Texas. Our experts can tell you everything you need to know.