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Telemarketing Bonds

Phone solicitation remains a highly effective, low-cost marketing and lead generation method. But telemarketers metaphorically push their way into people's homes uninvited. And they have access to our private information. Many regulations have been instituted governing telemarketing to prevent abuses. One is the requirement to get a telemarketing bond.

What is a Telemarketing Surety Bond?

A telemarketing surety bond ensures that bonded companies comply with all federal and state regulations governing their industry. It creates a financial incentive for bonded telemarketing companies and their callers to follow the law and backs it up by creating a mechanism for redress. The bond protects the public from telemarketing fraud, abuse, and other violations.

How Do Telemarketing Bonds Work?

Like other surety bond types, telemarketer bonds are structured as a legal agreement between three essential parties:

  • The Obligee is the government agency, company, or individual who requires the bond. With telemarketing bonds, the obligee is the state government.
  • The Principal is the bonded company or individual.
  • The Surety is the insurance company that underwrites the bond.

If a person believes a telemarketing company has violated regulations, for instance, by calling repeatedly late at night, misusing personal information or calling someone registered on the Do Not Call list; they can file a claim against the bond. The surety thoroughly investigates every complaint. When they find in favor of the claimant, they promptly pay the damages up to the bond's full value. They dismiss any baseless claims.

Who Needs a Telemarketer Bond?

Every telemarketing company working in a state that requires a telemarketer bond must be bonded, or they are breaking the law. If the company has people calling into three different states that require bonding, they must have a separate bond for each state. Currently, the following 32 states and the District of Columbia require telemarketing bonds:

  • Alabama
  • Alaska
  • Arizona
  • Arkansas
  • California
  • Colorado
  • Delaware
  • Florida
  • Idaho
  • Indiana
  • Kentucky
  • Louisiana
  • Maine
  • Mississippi
  • Montana
  • Nevada
  • New Jersey
  • New York
  • North Carolina
  • Ohio
  • Oklahoma
  • Oregon
  • Pennsylvania
  • Rhode Island
  • South Dakota
  • Texas
  • Utah
  • Vermont
  • Washington
  • West Virginia
  • Wisconsin
  • Wyoming

How Much Does a Telemarketing Bond Cost?

Each state that mandates telemarketing bonds also sets the required bond value. The surety bond's cost is a tiny fraction of the bond value, typically just 1%-5%. The principal's credit rating determines the bond premium. At Viking Bond Service, we work with those with rocky credit to help them get bonded for the best pricing available.

How to Get Your Telemarketing Bond

We make it easy to obtain your surety bond. It is just three simple steps:

  1. First, complete our online bond application.
  2. Next, we will perform a credit check.
  3. Finally, if we need additional documentation, you provide them.

We will get you a competitive quote for your telemarketer bond ASAP.

Get Your Free Quote Today for a Telemarketing Bond

At Viking Bond Service, we will guide you step by step through the bonding process. Contact us online, or call 1-888-2-SURETY (1-888-278-7389). We look forward to being your surety bond partner!

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