Colorado Debt Management Services Provider Bond
Colorado Debt Management Services Provider Bond Information
Debt management service providers in Colorado must obtain a $50,000 surety bond to ensure their organizations conduct business in an ethical and lawful manner. Valid third party claims against the surety bond vary across jurisdictions but commonly include; failure to perform contractual services, misrepresentation, fraudulent credit record actions, and improperly receiving money for services.
What does a Debt Management Services Provider Bond Protect Against?
The surety bond requires that the registrant and its agents comply with the provisions, rules, and regulations of the Colorado Uniform Debt Management services Act. The bond also guarantees up to the full bond amount that registrant will pay all final judgments and orders, with expenses, that become due or owed to the Administrator, and all final judgments that become lawfully due to or on behalf of any individual who has prevailed in a Debt?Management Services Act cause of action against the registrant.