Texas CSO Bond Overview
- Purpose: To protect any person damaged by a CSO's noncompliance with state law
- Who Needs It: Companies or individuals that provide credit repair services in Texas
- Regulating Body: The Texas Secretary of State
- Required Amount: $10,000
- Premium Rate: $150
What Is a Texas Credit Services Organization Bond?
A Texas credit service organization (CSO) bond is a form of financial security required to provide credit services in the state. The $10,000 bond provides financial recourse if a credit repair company breaks laws, rules or regulations.
How Much Do Credit Services Organization Bonds Cost in Texas?
The $10,000 Texas CSO bond costs a flat rate for all applicants:
- $150 for 1 year
- $263 for 2 years
- $375 for 3 years
You can buy your bond online in minutes. Just enter your personal and business information, then checkout.
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a CSO Bond Work?
A Texas CSO bond creates a legally-binding contract between three parties: the principal, obligee and surety provider.
| Bond Party | Description |
|---|---|
| 1) Principal | The CSO owner filing the bond |
| 2) Obligee | The Secretary of State, Registrations Unit |
| 3) Surety | The issuing surety provider |
The bond holds you financially responsible for upholding Chapter 393 of the Texas Finance Code and Chapter 74 of the Texas Administrative Code. If the surety pays out bond claims, you must repay the surety up to the $10,000 amount.
How Do I Get a CSO Bond in Texas?
You can purchase your Texas credit service organization bond online 24/7. You'll just need to provide your CSO name and business address. Once you checkout, we’ll email your official bond documents in minutes.
Can I Get Bonded With Bad Credit?
Yes, there is no credit requirement or credit check for this bond.
How Do I Renew My Bond?
Your bond will expire after one term. We’ll send you reminders before the expiration date. Rather than purchasing a new bond each year, you can simply renew your existing bond.
How Do I Update My Bond Form?
If you need small updates to your bond, like a name change, contact your surety provider. We can often issue a bond rider document. This allows you to amend the original bond without needing to cancel and buy a new one.
How to Register a Credit Service Organization in Texas
The Texas Secretary of State oversees registrations for credit services organizations, including the bond requirement. Follow these steps to apply:
- Fill out the registration Form 2801—General Information.
- Attach your surety bond form or other proof of security.
- Include payment form for the $100 filing fee plus $15 for any additional locations.
Submit these materials online through the SOS portal. Do not include the instructions, document duplicates, payment information or any personal identifying information (PII).
If you have questions about your application, call the SOS Registrations Unit at 1(512)475-0775.
