Generic Obligee Concessionaire Bond
Learn how this surety bond works and how to obtain one ASAP!
What is a Generic Obligee Concessionaire Bond?
A Generic Obligee Concessionaire Bond is a legal promise that guarantees the compliance of a person to a concession agreement.
This bond is a requirement prior to entering the said agreement. This bond will ensure that the bonded person will comply with every condition set forth in the agreement when performing his or her duties.
The Obligee is the person who is requiring the bond. The obligee can be an individual, a private business entity, a federal government agency, or a local government agency.
How does a Generic Obligee Concessionaire Bond work?
This bond is a contract among three parties, namely:
- Principal – the party who is tasked to obtain this bond and the one who will fulfill the obligations of the bond.
- Obligee – the party to whom this bond is furnished.
- Surety – the party who will guarantee the fulfillment of the obligations by the principal.
This surety bond will have a monetary penalty in the event of a default by the principal. If the principal fails to perform his or her obligations or violates the agreement, the obligee can take action on the bond.
The validity of the claim will be investigated by the surety. Once the validity is established, the surety is responsible for paying the obligee. As stated in the indemnity agreement between the principal and the surety, the principal will have to reimburse the latter for the payments made.
How much does a Generic Obligee Concessionaire Bond cost?
The bond cost will be on a case-by-case basis. It will depend on the principal’s credit score and the total bond amount.
The bond amount will be determined by the obligee. If the principal has an excellent credit score, he or she will be eligible to pay a small percentage of the bond amount as a bond premium.
For example, if the bond amount is $15,000 and the principal’s credit score is 800, the bond cost can be 1% to 2% of the bond amount.
You can still qualify even if you have a bad credit score.
How can I get a Generic Obligee Concessionaire Bond?
- Fill out our application. If you are ready to do that now, you may APPLY HERE!
- After we have received your application, we will ask you to submit the necessary information needed for the underwriting process. These are the following:
- Your financial capability
- Your business or job performance history
- Your credit score
An expert underwriter will carefully evaluate all three to attain the best credit decision possible. To avoid any delay, the information that you should submit should be organized and concise.
- Your surety bond will be issued and sent to you!
Ready to apply? strong>START HERE!