When you’re in need of a bond, it is important to know the difference between the different types, so you can be sure that you are getting the right one for your needs. Different bond types have a different process to them. The current surety bond categories are: Commercial, Contract, and Court.
When it comes to Contract Surety Bonds, they are made up of several bond types that cover a construction project from start to finish. No matter how many bonds you may need to complete the construction project, our team is on hand to assist you.
Bond types within Contract Bonds include:
This bond guarantees that the bonding company will provide a performance bond if a contractor is awarded the job.
This is not a bond type but a term that is used to describe a contractor bonding.
This is a contractor bond that has been put into place after a performance bond.
This bond makes sure that suppliers, labor, and subcontractors are paid should the contractor default.
Guarantees the completion of a project as indicated in the terms of the contract.
Site Improvement Bond
A site improvement bond is needed to ensure the public property will be restored once the private project is finished.
It is required by local authorities to ensure that the landowner finished mandatory public improvements that builders make to their property.
A supply bond is required by either the project owner, state, or federal law to make sure that secure payments are made to the suppliers.
Since nobody knows what the future holds, it is important to have court bonds. They will guarantee that the winning party in a case will receive payment and ensures that custodians or guardians will be able to manage the fiances of another person. After a death, executor and probate bonds are used to protect an estate’s assets.
Types of Court Bonds:
An appeal bond is necessary by a court before trying to make an appeal. This bond may require collateral.
This is another term used for guarandianship bonds.
A term used for probate bonds.
Term used for probate bonds.
Another term used for probate bonds.
This type of bond guarantees that the legal guardian of a minor or someone that has become incapacitated will be able to manage their finances.
A probate bond is needed by the court in order to ensure the executor of an estate properly distributes the assets as the deceased intended.
License and Permits Bonds
As a sub-category of bonds, the license and permit bond falls under the commercial category. This type of bond guarantees the principal will follow the terms of the license they file the bond for. Some popular license and permit bonds include: Mortgage Broker bonds, Contractor License Bonds, Mortgage Lender Bond, Certificate of Title Bonds, and more.
License & Permit bonds guarantee a variety of things, so the market in them varies greatly. If you would like to learn more, feel free to contact us today. We will discuss what would be best for your situation and needs.
Fudiciary bonds are the same as probate bonds, executor bonds, and estate bonds. They are a court ordered bond that legally states that the executor of the estate will distribute the assets of an incapacitated or deceased person as they had indicated when they were able to.
The market for fiduciary bonds has been quite steady for years now. Rates are generally low compared to other available surety bonds. At The Surety Bonding Agency, we are proud to represent a variety of specialty markets that can help applicants with bad credit, those going through bankruptcy, and other issues.
Notary/Public Officials Bonds
Notary/Public Officials bonds guarantees that a public official must be honest and faithful in all of their responsibilities. Generally, a Public Official bond is used to protect the taxpayers money that is often handled by the official.