What is a Colorado Commercial Driving School Bond?
Get to know what a CDS bond is and how to acquire one today!
The Commercial Driving School Bond is one of the general requirements that is mandated by the Department of Revenue Division of Motor Vehicle for a Commercial Driving School Certification in the State of Colorado.
A Commercial Driving School (CDS) is a business that educates individuals on how to operate a motor vehicle.
A CDS should be certified by the Driver Testing Education Section of the Motor Vehicle Division before they can conduct the said duty.
What is the bond amount?
The bond amount is $10,000, made payable to the Department of Revenue Division of Motor Vehicle.
The surety bond premium will depend on several factors. However, those who have excellent credit scores may be eligible for a very low bond premium, or just 1% of the bond amount!
If you would like to know what you have to pay, get your FREE quote from us today!
What are the Commercial Driving School bond conditions?
- The surety bond should be an agreement between these three parties:
Principal – The Commercial Driving School
Obligee – The Department of Revenue Division of Motor Vehicle
Surety – the surety bond company that will issue the bond
- The CDS should comply with all the necessary requirements, rules, and regulations that govern it.
- The surety bond will be used by the Department of Revenue Division of Motor Vehicle in case the CDS applying for the certification, its employees or agents commit misconduct resulting in a monetary loss.
- If a breach of contract between the Commercial Driving School and the student occurs, the bond may be used to indemnify against any damage.
- A decrease in the bond amount or termination of the bond will automatically result in the suspension of the CDS Certification.
How can I obtain this bond?
You may get this bond by submitting an application to a surety bond company that is licensed in Colorado such as Surety Bond Authority.
You will have to go through what is called an underwriting process. During this time, an underwriter will check your financial history, business performance history, and determine your creditworthiness.
Once that’s been satisfied, we will execute the bond and send it to you immediately!
What else are the CDS Certification requirements?
- Completed application form
- The Department should approve the CDS’ driving education course
- The CDS should be separately located from the owner’s residence
- Submit CDS’ state, county, or municipal business licenses, Secretary of State Registration, and other relevant documents
- The CDS owner must complete a Records Management/BOSW training
- The CDS should have properly equipped to perform its functions according to the standard of the Department
- A new CDS should not have the same name as a previously certified CDS
- CDS should continuously monitor the proper performance of its employees
Let’s get you started! Call or email us today!