District of Columbia Student Loan Servicer Bond

Bond Penalty: $50,000

December of 2016, the District amended the Department of Insurance and Securities Regulation Establishment Act of 1996 to create a Student Loan Ombudsman within the Department of Insurance, Securities, and Banking which regulates student loan servicers. The Act defines a servicer as, "a person or entity, whether located within or outside the District, responsible for the servicing of a student education loan of a student loan borrower." A student loan servicer bond is one of the requirements of registration with the Department.

Pursuant to subsection (D), an applicant must file a surety bond in an amount determined by the Mayor to be used for the recovery of damages incurred by a student loan borrower as the result of a licensee's noncompliance with the requirements of this act or the recovery of fees or expenses levied against said licensee. The Department initially fixed the DC student loan servicer bond requirement at $50,000.

Washington DC surety bond leader, Surety One, Inc. is a specialist in the fidelity and surety bonding needs of student loan servicers and financial professionals. We offer the bonds needed by these operators in all states where they are required. Questions about this license bond? Call us at (800) 373-2804, email us at Underwriting@SuretyOne.com or click here for live chat. An digital dispatch service bond is quick, easy and quoted same-day.

Surety bond application review and quoting are free of charge. There is no obligation to purchase.

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