An Oregon collection agency bond is required by law in order to obtain a license to operate within the State of Oregon. The licensing and registration process is handled by the Division of Finance and Corporate securities. The licensing application must be delivered to the Division together with the Oregon collection agency bond. Oregon statute defines a “collection agency” as (A) A person engaged in soliciting a claim for collection, or collecting or attempting to collect a claim that is owed, due or asserted to be owed or due to another person or to a public body; (B) A person that furnishes, forms represented to be a collection system even if the forms direct the debtor to make payment to the creditor and even if the forms may be or are actually used by the creditor in the creditor’s own name; (C) A person that, in attempting to collect or in collecting the person’s own claim, uses a fictitious name or any name other than the person’s own that indicates to the debtor that a third person is collecting or attempting to collect the claim; (D) A person in the business of engaging in the solicitation of the right to repossess or in the repossession of collateral security due or asserted to be due to another person; or (E) A person that, in the collection of claims from another person: (i) Uses any name other than the name regularly used in the conduct of the business out of which the claim arose; and (ii) Engages in any action or conduct that tends to convey the impression that a third party has been employed or engaged to collect the claim. The Oregon collection agency bond must be in the sum of $10,000 executed by the applicant as obligor, together with one or more corporate sureties authorized to do business in Oregon. The surety bond must run to the State of Oregon for the use of the state and of any person who may have a cause of action against the collection agency. The Oregon collection agency bond be conditioned that the obligor will faithfully conform to and abide by the provisions of ORS 697.005 to 697.095 and all rules lawfully made by the director under ORS 697.005 to 697.095, and will pay to the state and to any such person any and all moneys that may become due or owing to the state or to such person from the collection agency under and by virtue of the provisions of the same statutes. Oregon surety leader, Surety One, Inc. focuses on supporting the bonding needs of the financial services sector. We offer this class of surety bond to all applicants in every state where collection agencies must be bonded. We also offer broad fidelity bond coverages especially for colletions agencies to insure the risk of internal dishonesty losses. Visit SuretyOne.com, call (787) 333-0222 or (800) 373-2804, or email Underwriting@SuretyOne.com for an Oregon collection agency bond application or information about any surety or fidelity need.
