California Foreclosure Consultant Surety Bond
Know why this surety bond is required and how to easily get one!
What is a California Foreclosure Consultant Surety Bond?
This bond must be submitted by foreclosure consultants to the Secretary of State before a certificate of registration is issued.
This must be submitted to ensure that the foreclosure consultant will conform to the relevant sections of the California Civil Code that pertain to assisting homeowners who have defaulted on obligations secured by their residences.
This bond will serve as a protection tool for the homeowners against fraud, deception, harassment, and unfair dealing by foreclosure consultants such as, but not limited to, the following:
- Charging high fees—the payment of the said fee is often secured by a deed of trust on the homeowner’s residence to be saved.
- Performing no service or worthless service.
- Advising the homeowner that the foreclosure consultant can obtain the remaining funds from the foreclosure sale if the homeowner executes an assignment of the surplus, a deed, or a power of attorney in favor of the foreclosure consultant.
This requirement is in pursuance of Section 2945.45 of the California Civil Code.
How much does a California Foreclosure Consultant Surety Bond cost?
The bond premium will depend on the foreclosure consultant’s credit score. Those who have excellent credit scores will be eligible to pay as little as 1% of the bond amount.
The bond amount is $100,000.
Know what you need to pay right now! GET YOUR FREE QUOTE HERE today!
How can I get a California Foreclosure Consultant Surety Bond?
The first step is to apply for this bond. If you’re ready to apply for one right now, you may easily do so HERE!
We will immediately process your application once we’ve received it. One of our expert surety bond agents will take your call and guide you through the whole process. He will also let you know the documents and other information that you need to provide to move forward with your application. Some of these are as follows:
- Documents that show your financial strength
- Proof of your job/business performance history
- Your credit score
An underwriter will evaluate all those. Once that’s done, you’ll be asked to sign an indemnity agreement. After that, we will execute the bond and send it to you!
How does a California Foreclosure Consultant Surety Bond work?
This bond will serve as an agreement among 3 parties:
Principal – foreclosure consultant
Obligee – People of the State of California
Surety – surety bond provider
The Principal and the Surety will partner in assuring the performance of the former to the Secretary of State. The Principal is primarily responsible for the fulfillment of the obligations required by the Obligee. If the Principal commits a violation, the homeowner (Obligee) can file a bond claim.
The claim will first be verified by the Surety before it is settled. Once the Surety has settled the claim, the Principal will reimburse the Surety for the payments made.