Washington, D.C., Surety Bond Overview
Often times, states require businesses or individuals to get a surety bonds as a way to ensure compliance with certain rules, laws, or regulations.
Regardless of what type of D.C. surety bond you need to post, you can count on the experts at Bryant Surety Bonds to help you throughout the application process. All of the surety bonds we offer are underwritten by the strongest A-rated and T-listed providers in the nation. This is why we can confidently say that your surety bond will be accepted by the obligee– or you get your money back.
If you want to learn more about surety bonds in D.C., keep reading for all the facts.
Types of Surety Bonds in Washington, D.C.
To help you better understand what type of surety bond you are required to post, it’s easiest to separate them into three main categories:
License bonds are the largest category of bonds, and they are required from businesses who need to get a business license or permit. The bond guarantees that businesses will comply with applicable rules and regulations and that they will not use unethical business practices.
Contract bonds are another frequently required category of surety bonds. When there is a construction project (especially if it’s a public one), the project owner can require that contractors post several types of contract surety bonds, which guarantee the project will be completed on time and as described in the contract.
- Court bonds are less frequently required. If a court appoints an individual as a fiduciary, or if someone wants to appeal a court decision to a higher instance, this may require a court bond.
Washington, D.C., Surety Bond Cost
The most common question people ask about surety bonds is how they can calculate their costs. Estimating the cost of your surety bond isn’t complicated, if you know the total bond amount you are required. For example, if you are a car dealer, you will have to post an auto dealer bond in the amount of $25,000.
This is not the sum you have to pay, however. Instead, you pay for your surety bond with a premium– annually or biannually. The premium is determined by the bonding company after an analysis of your credit report. Applicants with FICO score of 650 or more pay premiums between 1% and 4% of the bond amount.
Other factors can also affect your bond premiums, such as:
- Financial statements
- Availability of liquid assets
- Industry experience
You can find more detailed information on our How Much Does a Surety Bond Cost? Page.
Bad Credit Surety Bonds in Washington, D.C.
Getting a surety bond for applicants with bad credit (or no credit history) can be harder, because bonding companies assume a higher risk when underwriting bonds for them. Some surety bonds, such as those for contractors, cannot be obtained with bad credit. Applicants with an open bankruptcy or a later child support payment will see their bond applications declined as well.
However, everyone else can apply with Bryant Surety Bonds’ Bad Credit Surety Bonds Program, and get bonded at rates varying between 2.5% and 10% of the total bond amount.
Get Your Washington, D.C., Surety Bond Today!
We offer a fast and secure online application, which can help you obtain the surety bond you need without the hassle.
When you fill it out and submit it, we will give you a free bond quote, which doesn’t oblige you in any way. We will also give you an indemnity agreement to sign with the bonding company. After you sign it and we receive payment for the bond, we will do our best to send you the bond form by mail within 2 business days. Copies are available via fax or email.
Still got questions about Washington, D.C., surety bonds? Call us at (866)-450-3412 and one of our knowledgeable experts will assist you as best as they can.