North Carolina Grain Dealer Bond Guide
If you’re applying for a grain dealer bond in North Carolina, you’ll need this surety bond.
Bond Overview
- Purpose: To ensure that grain dealers pay producers
- Who Needs It: Grain dealers in North Carolina
- Regulating Body: The North Carolina Department of Agriculture and Consumer Services
- Required Coverage: $100,000
- Premium Rate: 1–10%, credit–based
What Is a Grain Dealer Bond?
A North Carolina grain dealer bond serves as financial protection for grain producers and manufacturers. This $100,000 bond is used to pay any potential claims that arise due to dealer negligence or fraud.
Fraudulent activities by grain dealers include:
- Failing to pay for grain purchased
- Fraud
- Deceitful habits
The grain dealer bonds ensure that producers have a means of financial recourse if they are harmed.
How Much Do Grain Dealer Bonds Cost in North Carolina?
North Carolina grain dealer bonds cost a small percentage of the $100,000 coverage amount, typically 1–10%.
Premium amounts vary depending on credit score. With excellent credit, you could pay the lowest rate of $1,000.
Apply for your free quote now! A surety expert will provide your personalized rate within a few hours.
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a North Carolina Grain Dealer Bond Work?
A grain dealer bond creates a legal contract between these three parties:
- Principal: You, the dealer filing the bond
- Obligee: The North Carolina DACS requiring the bond
- Surety: The provider issuing the bond
This contract holds you financially responsible for upholding the provisions of North Carolina Statute 106–53–601. Otherwise, you are liable for paying claims up to the $100,000 bond amount.
Who Needs a Grain Dealer Bond?
This bond is required as part of the dealer licensing process. Grain dealers include any agricultural dealer that purchases or sells common grains such as corn, rye, barley, or oats.
Additionally, grain dealers includes anyone who operates:
- Grain elevators
- Grain mills
- Grain warehouses
- Grain tractor units
This bond does not include grain producers that are buying grain products for consumption on their own farms.
How Do I Get My Bond?
SuretyBonds.com provides the fastest and easiest way to get a North Carolina grain dealer bond. Just follow these quick steps:
- Apply: Submit an online request form
- Quote: Receive your quote within one day
- Sign: Complete the indemnity agreement
- Buy: Purchase the bond online 24/7
We’ll mail you the bond via your preferred shipping method. Be sure to file it with the Department of Agriculture and Consumer Services as instructed.
If you have any questions, call our friendly surety experts at 1(800)308-4358.
How Do I Renew My Bond?
These bonds expire annually. To renew your grain dealer bond, simply pay your renewal invoice when prompted.
We’ll begin contacting you by phone and email 90 days before your expiration date.
