The cost of your bond depends on mainly two factors
- The bond amount
- Your credit score and financial strength
The bond amount is typically determined by the state authority and it varies across states. For example, Texas requires a $10,000 bond whereas California requires a $25,000 bond.
Your credit score determines the premium % of the bond amount. This premium % is generally 1% of the bond amount but sometimes it depends on the credit score of the company owners and the financial strength of the agency.
As a result, collection agency bond is relatively inexpensive but the cost varies among states. For example, a $10,000 Texas collection agency bond costs $100 and a California $25,000 bond costs $250. Generally, a collection agency bond cost will always be at least $100