California Check Cashing or Deferred Deposit License Bond
California Check Cashing or Deferred Deposit License Bond Information
Deferred Deposit Originators, defined as anyone who offers, originates or makes a deferred deposit transaction in California must obtain a $25,000 surety bond to legally conduct business in the state. Deferred deposit transaction means a transaction where a person defers depositing a customer’s personal check until a specific date, pursuant to a written agreement, as provided for in the California Financial Code Section 23035. The practice is commonly referred to as pay day lending.