Immigration Consultant Bond California
An immigration consultant bond is something which is required of all certified immigration consultants in this country, and it must be maintained in a valid status for as long as that consultant is in business. The purpose of this requirement is to enable certification from the appropriate organization or authority in the state of operation for any given consultant. For instance, an immigration consultant wishing to conduct business in the state of California would be required to obtain an immigration consultant bond prior to being certified by California state authorities for business.
[Ready to get your immigration bond? Contact NFP Surety today and let us know about your immigration consultant bond California (or any other state) needs. We’re glad to answer any questions you might have. Get bonded today!]
Why Immigration Bonds are Important
The reason that these bonds are so important is that they provide a high level of protection for the public and for the state of operation, ensuring that clients are not taken advantage of or exploited in any way. It does not provide any safeguards whatsoever to the consultant who actually is required to take out the bond, since that is not the party which requires protection during immigration consultancy.
Without this kind of the bond in place, there would be a much greater potential for unlawful activity from consultants, for instance in the misrepresentation of important facts, or from outright fraud. The fact that an immigration advising consultant has obtained a bond provides a clear indication to customers that the consultant will be abiding by the terms of all local and federal regulations, and that the consulting service itself will be legitimate and useful to the client.
Consultant bonds works in much the same way that other surety bonds do, in both its language and its function. The three main parties to an immigration consultant surety bond are the same as they would be for virtually all other surety bonds, i.e. the principal, the surety company, and the obligee. The principal is the consultant who is required to purchase the bond, the surety company is an organization which generally sells bonds and insurance, and issues the bond to the principal, and the obligee is the state agency or authority which must certify the principal for business operations.
In the event that any of the state laws are violated during a specific immigration consultancy, the affected person will have the option to make a claim against the consultant’s immigration bond. If the claim is found to be legitimate and with merit, the surety company would then be obliged to pay the amount of that claim, after which in most cases it would be free to pursue the principal for reimbursement.
Who Needs Immigration Bonds?
Any individual who wishes to conduct a business involving immigration consultancy, will be required to purchase an immigration bond prior to becoming certified for operation in a particular state. The specific state of operation will be a huge factor in determining how large the bond must be in order for you to conduct business. Each state will establish its own bond amount requirement, e.g.$100,000, and that is the level of coverage that the consultant must purchase.
The cost of that bond to the consultant will be a percentage of the bond amount, with several other factors coming into play. For instance, the consultant’s personal credit score and overall financial condition will play a large role in the cost of the bond. This is because a surety company must protect itself against the possibility that any claim made by a customer will cause a principal to declare bankruptcy, and default on financial reimbursement to the surety company.
What Happens if you don’t have an Immigration Bond?
If you as an consultant do not have an immigration bond, it means that you lack the kind of assurance which it can provide to customers, of your legitimacy and of your integrity. That being the case, customers would logically choose other business practitioners who do have a consultant bond, and at least provides some measure of protection for the client that there will be no misrepresentation of the law or of information. In addition to that, if you do not have a consultant bond, you are unlikely to be approved for certification by any state which you apply to for doing business.
How You can get an Immigration Bond
Getting immigration consultant bonds is a fairly simple process for someone with legitimate business intentions. Since you already know the type of bond that you need to obtain, your first step would be to select a surety company to do business with, and to purchase your bond from. A good choice in this regard would be NFP Surety, which is one of the largest insurance and bond companies in this country, and which is authorized to do business in every state.
You are also likely to find the most affordable rates for your bond with NFP Surety, although you are of course, free to choose any other insurance company you like. After you have filled out an online application form for the bond and submitted your application fee to the surety comp, you will be issued an indemnity agreement. This must be signed in the presence of a public official and returned to the surety comp. Following receipt of your indemnity agreement, the surety bonding company will then issue the bond itself, and your coverage period will begin as of then.
What About Bad Credit?
If you as a consultant have a bad credit score, or if your company finances are not the best, there is still an opportunity for you to secure an immigration surety bond. Many surety companies will still accept your application, but there is a likelihood that you will be paying higher premiums because of the less desirable financial status.
As mentioned previously, applicants who lack good financial status, or who have had serious financial problems in the past, are more likely to default when a claim is made by an unsatisfied customer. When that happens, the bonding company will generally suffer the full impact of any claim made against the immigration bond, and will be required to pay the entire amount. That being so, a surety company must protect itself against the likelihood of financial losses by charging higher premiums.
If you are you are ready to purchase an immigration consultant bond California, contact our office today. We know the questions to ask to make sure your immigration bond is done correctly, and on correct paper. We’re here to help.
California Immigration Consultant Bond
NFP Surety provides the Immigration Consultant Bond California for a very affordable rate as low as $900 for two years.
California requires that individuals who prepare immigration paperwork for the public maintain a $50,000, two-year bond. This surety bond is designed to protect customers against financial loss caused by actions of the consultant who is preparing their paperwork. The bond is filed with the California Secretary of State. The Secretary of State oversees the immigration consultants in California.
The California Immigration Consultant Bond does not replace Errors and Omissions Insurance that should be maintained to protect the consultant, but is designed for the protection of the public. According to the terms outlined in the prescribed bond form, a consultant must abide by the laws governing such activities in California.
Because of the higher amount of the Bond ($50,000), and the very nature of the work being performed as an consultant, the bond requires a credit check for approval and the cost will be higher than it would be for a $25,000, two-year California Legal Document Assistant Bond, or Unlawful Detainer Assistant Bond.
Immigration Consultant Bonds California… For more information about obtaining this bond, please call (800) 863-3210. Or apply on our website. NFP Surety is the leader in Immigration Bonds.