New York Private School Bond
What is a New York Private School Bond?
It is a private school license requirement. All private schools that charges tuition fees or fees related to instruction are required to be licensed as mandated by Section 5001 of the New York Education Law.
This performance bond is a financial assurance that shows that the licensed private school has a fiscally sound operation. In addition, this bond will ensure that the private school will abide by the provisions of the aforementioned law as well as the rules set forth by the New York State Education Department.
This bond will be submitted to the Commissioner of Education as a security deposit. It will be used to settle any claims that pertains to the reimbursement of tuition fees in case the license private school ceases operation or violates the relevant laws, rules, and conditions of its license.
How much does a New York Private School Bond cost?
Bond premium varies per bond applicant (private school). This will be based on the applicant’s credit score and bond amount.
The bond amount will be determined by the New York State Education Department.
Private school license applicants who have excellent credit scores will be eligible for a low bond premium. Bond premium starts at 1.5% of the bond amount.
If you have determined your bond amount, you may check you bond premium by getting your FREE BOND PREMIUM QUOTE HERE!
How can I get a New York Private School Bond?
You can get it through our quick, easy, secured online digital surety bond service. No need to go to our office. You can do this from the comfort of your own home.
- Start by applying for New York Private School Bond HERE.
- The next step is the prequalification process. You will be asked to submit documents that will be used by our expert underwriter to assess the following:
- Your credit score
- Your business performance history
- Your financial capability
- Sign the indemnity agreement.
- Your surety bond will be issued and sent to you.
How does a New York Private School Bond work?
A surety bond is a financial guarantee provided by the Surety. There are three parties to every surety bond:
Principal – Private School license applicant
Obligee – People of the State of New York
Surety – Surety bond provider
The Principal is the party who will fulfill all the bonded obligations. The Surety will extend its credit to the Principal through the issuance of this bond. The Obligee can be any person (e.g. student) who is enrolled at the bonded private school. If the private school violates its contractual obligations, the Obligee can file a claim to recover the amount needed for the reimbursement of the tuition fee. A valid claim will be settled by the Surety. However, the Principal must reimburse the Surety after.
Get this bond within a day! APPLY HERE!