The Arkansas Collection Agency Bond guarantees that debt collectors will abide by all state and federal laws. The surety bond protects the public legally and financially if the collector breaks the law when dealing with the public. If the principle acts against the bond, the state has the legally ability to cancel the bond and revoke the business license.
Typically, the bond amount is determined by factors such as the number of agency employees, how much revenue is expected, and the population the agency will be serving, among others. The bond premium (the cost to you) is only a small fraction of the bond amount. Surety1 works to get you the lowest possible premium for your bond.
- Required by: Arkansas State Board of Collection Agencies
- Minimum Bond Amount: $10,000
- Maximum Bond Amount: $25,000
- Valid: Continuous – Renewable
The exact bond amount is determined by how many debt collectors are employed by the agency:
- up to 5 = $10,000
- 6-12 = $20,000
- 13 + = $25,000
The applicant should verify the bond amount with the obligee before applying for the bond to ensure the bond amount is correct.
This bond guarantees that the principle will abide by all Arkansas state laws and regulations.
Since this bond is continuous, it is in full force and effect until cancelled. If the bond is cancelled, the obligee must be notified at least 30 days before the cancellation date.
Arkansas Collection Agency License Requirements
Surety1 is not directly involved with the licensing process, but we’ve compiled this information which may helpful for you.
State licensing fees and requirements:
- Surety bond
- License application
- Supporting documents for application (listed on official page)
- $125 license fee + $15 for each manager +$20 for each collector
- Proof of collection business experience
- Address and name of each officer
All licensing fees are required by the obligee, not the surety company.
How do I apply for the Arkansas Collection Agency Bond?
At Surety1 we make it easy to obtain all the bonds you need. Our simple three step process is:
- Complete the easy to navigate and secure online application. 1
- Review the free, no obligation quote from one of Surety1’s professional surety bond agents, usually within one business day.
- Sign some paperwork and pay the bond premium
Once these steps have been completed, the Arkansas Collection Agency Bond will be shipped to the bond principal (licensee) for signature.
(1)The name of the applicant on the surety bond application must match exactly the full legal business name of applicant for the license
Surety1.com is a service of AssuredPartners one of the largest and fastest growing insurance agencies in the nation. Representing over a dozen surety bond companies, Surety1.com is the premier online provider of surety bonds nationwide since 2003.
For a list of states that require collection agency bonds, visit our collection agency guide page.