High risk surety bonds are tough to find sometimes. If you have bad credit, you know how true this is. When you finally do find a surety bond company that offers them, many times you come away wanting to shower. There is a lot of abuse on the lower end of the scale when it comes to surety bonds, and the sad thing is that there has not always been a place to turn for help.
That’s all changed now. You can now find good quality surety bonds that are in the high risk category, and you can even find them cheaper. There are good surety bond companies who have seen the effect the economy has had on the contractor base, and feel that people should not be taken advantage of just because they have fallen victim to the same economy that has the nation in its grip. Should you be taken to the cleaners because of your credit situation?
High risk surety bonds are always going to cost more than standard surety bonds, there is no getting around that. The cost that is built in to the model comes from the higher default rate. But, and here is where the good news starts for you, these newer companies will give you the opportunity to show yourself a lesser credit risk, and you can move up to standard surety bonds. This is a great relief to many contractors.