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Are you interested in applying for a surety bond, performance bond, or fidelity bond? We have applications ready for download or you may speak to one of our trained representatives to find out which application suits your needs best. Click here for more information. |
Bad
Credit Surety Bond Program
At Viking Bond Service we realize that not everyone has exceptional credit, however they must have their surety bond in order to operate. We have access to a program specifically designed for the “credit challenged” principal. The program’s forms are short, are simple to complete, and the turnaround time to obtain the bond is a quick process. The cost of obtaining a bad credit surety bond is generally higher by nature. Sureties generally charge by their calculated risk (as do other insurance companies with other lines of coverage). So the higher the risk - the higher the premium paid to induce the surety to take the risk.
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In
today’s economy many people are finding themselves in tough
financial situations and consequentially seeing their credit scores plummet.
Some have fallen on hard times because of gas prices, foreclosure, high
credit card balances, medical bills, divorce, or just plain poor decision
making. Regardless
of the reason, credit affects one’s ability to qualify for a surety
bond. Read more below on how to 
The good news is that after the first year’s premium is paid,
principals have the opportunity to begin repairing their credit. If
credit can be repaired or at least improved adequately by renewal time
then the cost of renewal for the surety bond can be only a fraction of
what was paid for initial term under poor credit conditions. At
Viking we take a fresh look at each bond file every year prior to renewal.
Our inhouse renewal department runs credit and reviews all files, including
high risk cases to see if they can be remarketed to standard sureties
with much lower premiums. In some cases we are able to work with
our markets to get premiums lowered simply because of the relationship
developed between principal, agent (Viking), and surety. We may
for instance show the surety that client A has been with us for X many
years without any claims history, and we feel that the client is a good
risk thereby deserving of a lower rate.
If
you or any of your insured clients are in need of a surety bond and
credit is an issue, fee free to contact us for further information. Not
all bond types and/or amounts qualify however most standard license and
permit bonds $50,000 and under can be written through this program.