What is a Release of Lien Surety Bond?
A Release of Lien Surety Bond is a form of financial security which can be used to remove a lien from a property. The release of lien surety bond actually replaces the property as the source of security for the lien so that the property may be sold.
What is the current market for a Release of Lien Surety Bond?
Release of Lien Surety Bonds are written by almost all surety companies. The bond amounts depend on the size of the lien and additional penalties and taxes which are required by the respective governing body. The premium amount is determined by the size of the bond, the client’s financial stability, and the reason for the lien. Collateral may or may not be required depending on the size of the bond and the client’s net worth.
How much does a release of lien bond cost?
Your Release of Lien Bond cost depends on your corporate and personal financials. For example: Your bond cost will be under 2% of the bond amount needed if your company has large cash balances and very little debt. Additionally, your bond cost will be impacted if the surety company requires collateral. Bonds requiring a large amount of collateral will likely reduce your cost as well. On average, these bonds cost between 1-2% of the bond amount needed. However, publicly traded companies often receive rates less than 1%.
Do you place release of lien bonds for individuals?
No, we do not place Release of Lien Surety Bonds for individual applicants. The applicant must be in the form of a corporation, partnership, or similar entity. Generally, we place these types of bonds by working through your attorney. He or she will most likely have all of the required information needed to place your bond quickly and efficiently. However, please feel free to contact us directly should you have any questions.
How do I apply for a release of lien surety bond?
- Complete our online release of lien surety bond application, or
- Download and complete our printable release of lien surety bond application, and
- Receive your surety bond quote in minutes!