§ 4865 - Bond required
§ 4865. Bond required
(a) Each applicant shall submit to the commissioner, with the application for a license, a bond, in such form as the commissioner shall direct, in the amount of $50,000.00, or such greater amount as the commissioner may determine is required by the business circumstances of the applicant.
(b) The bond shall be in a form and in accordance with such terms and conditions satisfactory to the commissioner and payable to the state for use of the state and for the benefit of any claimant against the licensee to secure the faithful performance of the obligations of the licensee.
(c) The commissioner may require a larger bond if he or she determines, in his or her sole discretion, that a licensee has engaged in a pattern of conduct resulting in bona fide consumer complaints of misconduct and that such increased bond is necessary for the protection of consumers; or the commissioner may increase or decrease the amount of such bond based upon the applicant's or licensee's financial condition, business plan, number of locations, and the actual or estimated aggregate amount of payments and fees paid by debtors under the debt adjustment contracts. (Added 1969, No. 204 (Adj. Sess.), eff. March 23, 1970; amended 2003, No. 81 (Adj. Sess.), § 1.)