The Tennessee Collection Service Bond is a type of surety bond and is one o the requirements to obtain a collection service license in the state. Collection Service is any person or entity who, directly or indirectly, for a fee, commission, or other compensation, offers to a client or prospective client the service of collecting, or purchasing for collection, accounts, bills, notes or other indebtedness due such clients for various debtors. Individuals providing collection services in the state of Tennessee are required to be licensed by the Tennessee Collection Service Board, unless otherwise exempt. Tennessee does not currently have reciprocity agreements with other states for collection agency licenses.
- Required by: Tennessee Department of Commerce & Insurance, Collection Service Board.
- Minimum Bond Amount: $15,000
- Maximum Bond Amount: $25,000
The specific bond amount is determined by the number of employees of the agency:
- 1-4 employees—$15,000
- 5-9 employees—$20,000
- 10+ employees—$25,000
This bond guarantees that the principle will abide by all Tennessee state laws outlined in the Tennessee Code Annotated Title 62 Chapter 20. The applicant should verify the bond amount with the obligee before applying for the bond to ensure the bond amount is correct.
Tennessee Collection Service 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:
- Tennessee Collection Service Bond
- License application
- Supporting documents for application (listed on official page)
- $750 application fee
- $25 solicitor card fee
- Federal tax identification number
- Credit report
All licensing fees are required by the obligee, not the surety company. For more information, visit the Tennessee Collection Service Board website.
How to Obtain a Tennessee Collection Service Bond?
At Surety1.com we make it easy to obtain this surety bond. 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 Tennessee Collection Service Bond will be shipped to the bond principal (licensee) to be submitted to the Collection Service Board.
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 and is rated A+ by the Better Business Bureau.
For a list of states that require collection agency bonds, visit our collection agency guide page.