When you need a surety bond, you may need a single bond. To receive that bond, you work with a surety company to examine your business and credit history and establish that you’re a reliable and responsible business.
A surety bond is not only part of many licensing processes, it also ensures that your customers are protected. What happens if you need more than one bond? You can be approved for multiple bonds, but do you need to pay for all of them at the same time?
Getting Approved for Multiple Bonds
As a businessperson, it’s important that you have easy access to the bond products that make your business flow smoothly. Whether you’re moving your business into another state or renewing your business license, you need to ensure that you can get the bonds you need when you need them.
This means that you might seek approval for multiple bonds but only require one right now. If you are approved for 10 bonds but only have 2 issued, you only need to pay for the bonds you actually use.
How Can I be Approved for Bonds Without Paying up Front?
When a mortgage company needs more than one bond, the surety company will create an account for you. When the account is set up, the surety secures a line of surety credit, or a bond line. That means that you will only pay for the bonds that are issued.
If your company is approved for 10 bonds, the surety company sets up a line of surety credit for the bonds needed, but you will only pay for those bonds that are issued. You just need to remember to renew the line annually to ensure that you continue to qualify.
Setting up a surety credit is the most cost effective solution for a mortgage company. It allows you to secure additional bonding quickly rather than making a separate application each time. It also saves the mortgage company money. You’re only securing the bonds you need, when you need them, and you only pay for those bonds that are issued.
When you’re looking for a surety bond, contact Surety Solutions. With 50 years of experience in the surety bond industry, we know how to make the surety bond process simple for you. With our OneClick solution, you’ll get a variety of bond quotes so that you can choose the quote that’s right for your business.
