What is an Alabama Private School Agent Bond?
Know the why, how, and what of this surety bond!
As the name suggests, it a surety bond imposed upon Private School Agents who do the following:
- Sells courses
- Solicits students for enrollment
The surety bond will be a means to ensure that Private School Agents will comply with the state law and relevant rules while performing their obligations.
The bond will also serve as a financial tool that will be used to compensate any person who has been affected by the bonded Private School Agent’s fraudulent acts.
The surety bond requirement is in accordance with Section 16-46-1 of the Alabama Code and is enforced by the Alabama Department of Postsecondary Education.
What is the Private School Agent Bond amount?
The bond amount is $2,500.
If you have a stellar credit score, you will be eligible to pay for a low bond premium.
Know what you need to pay today by getting your FREE SURETY BOND QUOTE HERE!
What are the bond conditions?
- It is a legally binding agreement between the following:
Principal – Private School Agent
Obligee – Alabama Department of Postsecondary Education
Surety – the surety bond company or agent who will issue the bond
- The surety bond should be issued by a surety bond agent or company that is authorized to conduct business in Alabama
- The private school agent is required to comply with the provisions of Section 16-46 of the Code of Alabama, the rules and regulations of the Alabama Department of Postsecondary Education, and all the other applicable rules that govern private school agents in the state
- If the private school agent commits a valid violation, the aggrieved party will be eligible to file for a claim on the surety bond
- In case of cancellation, a 30-day notice is required
How can I get a Private School Agent Bond?
You can easily get this type of bond from us! Don’t worry. We will guide you through the whole process. We will make sure that you will understand what you will be getting into.
First, you need to submit an application.
If you are ready to do that now, you may APPLY HERE!
Once we have received your application, we will ask you to provide us with some important information needed for the underwriting process. These will include the following:
- Your financial history
- Your business history
- Your credit score
An underwriter will carefully evaluate all the information that you will give us. Once this process has been fulfilled, we will immediately issue the bond and send it to you!
Some applicants are eligible to forgo the underwriting process. Learn more by talking to one of our experts at 800-333-7800!