Credit scores are roughly classified as follows:
- 750+ – excellent
- 700-749 – above average
- 675-699 – good
- 650-674 – fair
- 550-649 – subprime
- 549 or lower – poor
If you have bad credit, don’t worry. This doesn’t mean you can’t get a surety bond. Follow these steps below to get a bad credit surety bond.
How to Get a Surety Bond with Bad Credit
The first and only step to determining if you can get a surety bond with bad credit is to apply with a surety bond company.
This is the only way to determine if you can get a bad credit surety bond.
To apply for a surety bond, click on your state below:
How Much Will My Bad Credit Surety Bond Cost?
If you are approved for a bad credit surety bond, you will likely have to pay more than someone who has good credit.
Generally, those with good credit will only need to pay 1-3% of the total bond amount, while those with bad credit will need to pay a higher rate, anywhere between 4-15%.
This means that for a $10,000 surety bond:
- Good credit: You pay $100 – $300
- Bad credit: You pay $400 – $1,500
To see what you’d pay for a bad credit surety bond, get a free quote below:
Why Does My Surety Bond Require a Credit Check?
Most surety bonds require a credit check. Some surety bonds do not, though.
The reason some surety bonds require a credit check is that the surety bonding company needs to see how likely you would be to repay them should a surety bond claim occur.
Your credit score is a great indicator of how you have repaid companies in the past.
The credit score is a soft pull. It does not adversely affect your credit score.
Your credit score is not the only thing that a surety bond company will look at, though. Underwriters of surety bonds also consider items on a credit report such as delinquent payments, tax liens, judgments, and bankruptcies.
If you have bad credit, don’t worry. This doesn’t mean you can’t get a surety bond. It just means you might have to pay a little more.
You can learn more about bad credit surety bond costs in our other article: How Much Does a Surety Bond Cost With Bad Credit?