Last reviewed: June 7, 2026|Next review due: September 5, 2026|Reflects current collection agency bond requirements

✓ 2026 Requirements Verified

Statute-verified amounts only · $100 minimum premium

Collection Agency Bond CalculatorState Amount + Premium Range

The question behind this tool has two parts. The bond amount is whatever your state licensing statute says — $5,000 in Washington, a $12,000–$20,000 sliding scale in Colorado, up to $50,000 in Michigan. The premium you actually pay is 1%–5% of that amount, $100 minimum, set by credit. Full licensing context lives on our license bonds hub; this tool just runs your numbers.

The dropdown only lists jurisdictions whose amounts we verified against the current statute or licensing agency — Colorado's CRS 5-16-119, Washington's RCW 19.16, Michigan's Occupational Code, and NYC's debt collector license rule. Pick another state and the tool says so instead of guessing. Collection agency bonds belong to the broader family of license bonds, priced with the same rate model as our license bond calculator.

Find Your Bond Amount

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An underwriter confirms your state's exact bond amount and obligee filing instructions before quoting — no guessed figures on a licensing document.

There Is No Federal Collection Agency Bond — Your State Sets the Number

The FDCPA (15 U.S.C. § 1692 et seq.) and Regulation F dictate how you collect — validation notices, call frequency, dispute handling — but neither imposes a surety bond. Every bond obligation in this industry comes from a state or city licensing statute, which is why an agency operating in three jurisdictions files three separate bonds with three different obligees, each at its own amount.

Federal layer

FDCPA + Regulation F (12 CFR Part 1006) govern conduct nationwide. No bond, no license — conduct rules only.

State layer

Licensing statutes like RCW 19.16 (Washington) and CRS 5-16-119 (Colorado) set the bond amount, the obligee, and who counts as a "collection agency."

City layer

A few cities license separately. NYC's DCWP requires its own $5,000 debt collector bond under Administrative Code Title 20 — on top of anything the state requires.

The bond itself works like every other license bond: it protects the consumers and creditors you collect for, not your agency. If you remit collected funds late, convert client money, or violate the licensing act, a claim pays the harmed party from the bond — and you repay the surety. Coverage details, claim triggers, and the statute-by-statute breakdown live on the full collection agency bonds guide.

Verified Collection Agency Bond Amounts

These are the jurisdictions whose figures we confirmed against the governing statute or licensing agency. Each links to our state bond hub for the full licensing picture beyond collections.

Jurisdiction	Bond Amount	Statute	Filed With
Colorado	$12,000–$20,000	CRS 5-16-119	Department of Law; sliding scale by monthly collection volume
Washington	$5,000	RCW 19.16.190	Department of Licensing (DOL)
Michigan	$5,000–$50,000	MCL 339.901 et seq.	DIFS sets the amount within the statutory range
New York City	$5,000	NYC Admin Code Title 20	DCWP (city license, separate from NY State)

Verified against each jurisdiction's published statute or licensing agency as of June 2026. States not listed have not been independently verified — call before relying on any third-party figure for those.

Colorado's Sliding Scale: The One Amount You Compute

Washington, Michigan, and NYC hand you a number (or an agency does). Colorado makes you do arithmetic — the bond grows with your monthly collection volume until it caps.

Colorado Collection Agency Bond (CRS 5-16-119)

Worked Example

GivenAgency collecting $32,000/month

$12,000 base + 2 increments × $2,000 ($17,000 over threshold rounds up)

Bond Amount$16,000 bond

GivenAgency collecting $32,000/month

$12,000 base + 2 increments × $2,000 ($17,000 over threshold rounds up)

Bond Amount$16,000 bond

CRS 5-16-119: $12,000 base; +$2,000 per additional $10,000 in monthly collections above $15,000; capped at $20,000. Newer, lower-volume agencies post less; high-volume agencies cap at $20,000.

What the cap means for premium

Even at Colorado's $20,000 maximum, the 1%–5% rate keeps the annual premium at $200–$1,000 — and most established agencies with clean credit pay near the bottom of that band. The volume report you file with the Department of Law is what moves the number, so expect the required amount to be re-checked as your book grows.

Michigan's version: agency discretion

Michigan takes the opposite approach — the statute gives DIFS a $5,000–$50,000 range and the department sets your figure. You cannot compute it in advance the way you can in Colorado, which is why the calculator shows the full range and our underwriters confirm the assigned amount with DIFS before issuing.

The Premium: 1%–5% of the Bond Amount, Set by Credit

Collection agency bonds price on the standard license-bond model: the statutory amount is fixed, and your credit decides where in the 1%–5% band the rate lands, with a $100 minimum premium. The chart below uses Colorado's $12,000 base bond; scale it linearly for your own amount. The full rate-driver breakdown lives on our surety bond cost guide.

Collection Agency Bond Premium by Credit Tier

Based on a $12,000 (Colorado base bond) bond amount

Credit ScoreEst. Annual Cost

680+ (Good)Rate: ~1%
$120
620–679 (Fair)Rate: 2%–3%
$240–$360
Below 620Rate: 4%–5%
$480–$600

License-bond rate model: 1%–5% of the bond amount, $100 minimum premium. On Washington's $5,000 bond the entire credit spread is $100–$250/yr; on a Michigan bond set at the $50,000 ceiling it widens to $500–$2,500/yr. Actual pricing depends on personal credit, business financials, and claims history.

Two practical notes. First, weaker credit raises the rate but rarely blocks approval on bonds this small — our bad credit bond program writes collection agency bonds across the credit spectrum. Second, these bonds renew annually and the premium is re-rated at each renewal, so a rate that started at 4% can step down as your credit and operating history improve — the mechanics are covered in our surety bond renewal guide.

Collecting Across State Lines? The Bonds Stack

Because every requirement is state-level, a multi-state agency posts a separate bond per license — separate obligee, separate form, separate renewal date. The good news: premiums on small license bonds stay small even when stacked.

Worked example: licensed in Washington + Colorado + NYC

Washington (DOL)

$5,000

≈ $100–$250/yr premium

Colorado (base)

$12,000

≈ $120–$600/yr premium

NYC (DCWP)

$5,000

≈ $100–$250/yr premium

$22,000 in total bond amounts, but only about $320–$1,100 per year in combined premium — and a single application with one surety can cover all three filings.

Quote All States at Once

One filing trap worth flagging: New York City's requirement is municipal. An agency licensed by New York State that also collects from NYC consumers needs the DCWP license and its $5,000 bond as a separate item — state compliance does not satisfy the city. The New York bond hub covers the rest of the state's licensing landscape.

License application waiting on the bond?

Collection agency bonds at these amounts typically issue same-day once the application is in. Call 1-844-810-BOND (2663) or start online.

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Related Bonds and Calculators

Collection agencies often hold adjacent financial-services licenses — each with its own bond.

License Bonds Hub

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Collection Agency Bonds

Statutes, claims, and state guide

License Bond Calculator

Same 1%–5% rate model

All Calculators

Calculator hub

Colorado Bonds

$12K–$20K sliding scale state

Rate drivers explained

Collection Agency Bond Calculator FAQs

Amounts verified against CRS 5-16-119, RCW 19.16, MCL 339.901, and NYC Administrative Code Title 20.

How much does a collection agency bond cost?

The premium runs 1%–5% of the required bond amount, with a $100 minimum — the same license-bond rate model that prices a $25,000 bond at $250–$1,250 per year. Applicants with credit in the 680+ range typically land near the 1% end. So Washington’s $5,000 bond costs roughly $100–$250 per year, Colorado’s $12,000 base bond about $120–$600, and a Michigan bond set at the $50,000 ceiling about $500–$2,500. The bond amount itself is set by your state’s licensing statute, not by the surety.

How does the Colorado sliding scale work?

Under CRS 5-16-119, Colorado collection agencies post a base bond of $12,000. If monthly collections exceed $15,000, the bond amount increases by $2,000 for every additional $10,000 in monthly volume, capped at a maximum of $20,000. Example: an agency collecting $32,000 per month is $17,000 over the threshold, which rounds up to two $10,000 increments — $12,000 + $4,000 = a $16,000 bond. The calculator above runs this math when you enter monthly volume.

Who do I file the bond with in each state?

Each licensing statute names its own obligee. Washington collection agency bonds ($5,000) are filed with the Department of Licensing under RCW 19.16. Michigan bonds ($5,000–$50,000) go to the Department of Insurance and Financial Services (DIFS) under the Occupational Code. Colorado bonds ($12,000–$20,000) run through the Department of Law’s collection agency program under CRS 5-16-119. New York City debt collectors post a $5,000 bond with the Department of Consumer and Worker Protection (DCWP) — a city-level requirement separate from any New York State obligations.

Does federal law require a collection agency bond?

No. The FDCPA (15 U.S.C. § 1692 et seq.) and its implementing rule, Regulation F (12 CFR Part 1006), govern how you collect — contact hours, validation notices, harassment prohibitions — but impose no surety bond requirement. Every collection agency bond obligation comes from a state (or city) licensing statute. That is why the amount changes when you cross a state line, and why an agency licensed in several states posts a separate bond in each one.

My state is not in the dropdown — what is my bond amount?

The calculator only displays amounts we have verified against the current statute or licensing agency, which is why the dropdown is short. Many states do require a collection agency bond at amounts we have not independently confirmed, and a few require none at all. Rather than guess, call 1-844-810-2663 or submit a quote request — an underwriter confirms the current figure with your state’s licensing agency before quoting, at no charge.

Can I get a collection agency bond with bad credit?

Yes. These are relatively small license bonds, so sureties write them across the credit spectrum — lower scores simply price toward the upper end of the 1%–5% range rather than being declined. On a $5,000 Washington bond, even a 5% rate is only $250 per year. Larger amounts, like a Michigan bond set near $50,000, feel the credit spread more: roughly $500 per year with strong credit versus $2,500 at the high end.

Get the Exact Amount in Writing Before You File

The calculator gives you the verified statutory figure; an underwriter confirms it against your specific license type and current agency guidance, then issues the bond — usually the same day at these amounts. Browse the license bonds section or jump straight to a quote.

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Reviewed by

Eric Drummond, Licensed Surety Producer

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All content is researched from official state and federal sources (.gov) and verified before publication. BuySuretyBonds.com works with Treasury-certified, A-minimum rated surety carriers serving all 50 states.

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