West Virginia Collection Agency Bond Overview
- Purpose: To ensure collection agencies operate honestly and legally
- Who Needs It: All collection agencies in West Virginia
- Regulating Body: The West Virginia State Tax Department — Revenue Division
- Bond Amount: $5,000
- Premium Price: $175 for a two-year term
What Is a West Virginia Collection Agency Bond?
A West Virginia collection agency bond protects your clients from harmful business practices. It ensures you’ll follow licensing regulations and operate fairly.
The State Tax Department requires a $5,000 surety bond to register your collection agency. Each branch location needs a separate bond.
How Much Do Collection Agency Bonds Cost in WV?
The $5,000 West Virginia collection agency bond costs a flat rate of $175 for 2 years of coverage. No credit check required! Buy your bond instantly today.
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Does a West Virginia Collection Agency Bond Work?
A West Virginia collection agency bond creates a legal contract between these three parties.
| Bond Party | Description |
|---|---|
| Principal | The collection agency owner purchasing the bond |
| Obligee | The West Virginia State Tax Department requiring the bond |
| Surety | The issuing surety provider |
By filing this bond, you promise to:
- Uphold the Collection Agency Act of 1973
- Keep records of all collections and payments for six years
- Store client funds in a separate trust account
- Pay clients monthly
Violating these terms can cause financial harm to the state or your clients. They can file claims against your bond to recover losses. If the surety pays a claim, you must repay the surety.
How Do I Get a Collection Agency Bond in West Virginia?
Getting a West Virginia collection agency bond is as easy as:
- Entering your information and payment method
- Receiving your bond in the mail
- Filing your bond with the State Tax Department
Just use the form on this page to get started!
How Fast Can I Get My Bond?
Need your bond fast? We offer overnight, two-day and three-day FedEx shipping. Shipping costs $20–$40, respectively.
Can I Get Bonded With Bad Credit?
Yes, this bond doesn’t require a credit check! You’ll always pay $175, regardless of your financial history.
How Do I Renew My Bond?
You must renew your WV collection agency bond on time to maintain your registration. We’ll send you reminders starting 90 days before your term ends. Simply pay the linked invoice to keep your bond active for another two years.
Can I Make Changes to My Bond?
Yes, you can typically make small changes to your bond by filing a bond rider. Email [email protected] with the update, and we’ll issue the proper documentation if possible.
How to Register a Collection Agency in West Virginia
All collection agencies in West Virginia need a business franchise registration certificate, which functions as your agency license. You need the following to apply:
- Physical office in West Virginia
- Separate trust account for client funds
- $5,000 surety bond per location
- $30 business license fee
Complete the registration online. There’s no need to renew unless your business information changes.
What Is the Statute of Limitations for Debt?
In West Virginia, the statute of limitations depends on the type of debt:
- Written Contracts: 10 years
- Oral Agreements & Open Accounts: 5 years
Once the statute of limitations has passed, you can’t sue to collect the debt anymore. This is based on the most recent payment or account activity.
