What is a Pennsylvania Telephonic Seller Surety Bond?
The Pennsylvania Telemarketer Registration Act requires businesses that use a telephone as part of a plan, program or campaign to induce the purchase of goods or services, or to solicit contributions for a charity, to register with the Pennsylvania Office of Attorney General at least 30 days before conducting business in the state. This act requires businesses to post security in the form of a $50,000 surety bond. This bond guarantees that the principal (telemarketing company) will comply with all provisions of the Pennsylvania Telemarketer Registration Act and provides protection to any person who is injured by fraud, misrepresentation, breach of contract or financial failure by the principal. If financial damages occur, the surety will pay out up to the penal sum of the bond to resolve the claim. The principal is then required to reimburse the surety for all monies paid out, including any attorney fees incurred.
What are the terms of the bond?
Pennsylvania Telephonic Seller Surety Bonds must be filed with the Pennsylvania Office of the Attorney General, and the aggregate liability of the surety shall not exceed the penal sum of the bond. The bond has a continuous term and remains in force until the surety company cancels the bond. The surety may cancel the bond for any reason by giving 60 days advanced written notice to the Office of Attorney General and principal via registered or certified mail. Any buyer claims must be filed no later than six months from the date on which the injury occurred or they will be invalid.
How much will my bond cost?
Pacific Surety is proud to offer a variety of approvals, regardless of credit, for Pennsylvania Telephonic Seller Surety Bonds, with rates as low as $500 annually for well qualified applicants. It typically takes just a few hours for a quote, and we have the ability to beat any competitors pricing. If you have any specific questions, feel free to contact our knowledgeable underwriting staff.