What is a California Seller of Travel Bond?

California Seller of Travel Bond

The California seller of travel bond protects the general public against unlawful and unethical business practices by travel agents and other organizations that sell travel.

Who Needs a California Seller of Travel Bond?

In order to become licensed to sell travel to the public, travel agencies are required by the Department of Justice to purchase surety bonds. The amounts vary based upon details of the business, and travel agencies should verify the amount with the state prior to bonding.

Additionally, travel agents are required to register with the Attorney General’s Office and display their registration number on all advertising.

Why Do I Need a California Seller of Travel Bond?

All travel agents and agencies in California are required to comply with the provisions of the Business and Professions Code (Article 2.6, Chapter 1, Part 3, Division 7). Within those provisions, travel agencies are required to:

  • Refrain from doing business with a travel agency that is not registered with the state
  • Avoid posting any false or misleading advertisements or claims
  • Conduct business using only ethical sales practices
  • Provide consumers with accurate travel records and information

If the principal violates these laws or the terms of the surety agreement, any harmed parties are able to make a claim against the seller of travel bond. Once finalized, the principal is responsible for reimbursing the surety for any damages paid or associated legal costs.

How Much Does a California Seller of Travel Bond Cost?

The Department of Justice requires travel agent bonds in varying amounts depending on the details of the business. Additionally, these bonds are subject to underwriting. Therefore the cost of these bonds may vary greatly from one agency to the next. However, once purchased, the seller of travel bonds remain continuous until canceled.

Get Started Today!

In order to operate as a travel agent, you must first purchase a California seller of travel bond. Don’t delay your application.

Get started today – Click here for a California seller of travel bond quote.

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