Iowa · Surety Bond Resource Center

Iowa surety bonds

Iowa’s published statewide license bonds in this hub sit with the Department of Transportation, the Plumbing and Mechanical Systems Board (through DIAL), the Division of Banking, the Secretary of State for credit services organizations, and the Insurance Division for adjusters. Motor vehicle and towable recreational vehicle dealers file a $75,000 surety under Iowa Code § 322.4 and 761 IAC 425.4. Chapter 105 plumbing, mechanical, HVAC, refrigeration, sheet metal, and hydronic contractors share one contractor-license surety of at least $5,000 under § 105.19 and 481 IAC 431.3—not separate face amounts by trade. Mortgage bankers and brokers post $100,000 or $150,000 by prior-year residential volume under 187 IAC 18.2, while closing agents post $25,000. Money transmitters use the greater of $100,000 or average daily Iowa liability, capped at $500,000, under § 533C.802. Debt-management licensees maintain $25,000 per office under § 533A.2. Credit services organizations that must post security under chapter 538A file at least $10,000 with the Secretary of State. Public and independent adjusters demonstrate at least $50,000 of financial responsibility under § 522C.7. Iowa does not require a notary surety. Debt collectors file Attorney General notification without a statewide collector license bond.

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Iowa at a glance

Motor vehicle / towable RV dealer: $75,000
Plumbing & mechanical contractor: $5,000+
Mortgage banker / broker: $100,000 / $150,000
Money transmitter: $100,000–$500,000
Debt management: $25,000 per office
Credit services organization: $10,000+
Public / independent adjuster: $50,000+

How it works in this state

How Iowa bonding is organized

How Iowa organizes these bonds

Dealer bonds run through the Iowa DOT motor vehicle division on a fixed $75,000 Form 417064 track for motor vehicle and towable RV dealers. Plumbing and mechanical contractor licensing under chapter 105 uses one board bond for the contractor entity, regardless of whether the shop’s masters cover plumbing, HVAC-refrigeration, hydronics, or related mechanical disciplines. Mortgage bankers, brokers, and closing agents file electronic bonds with the Division of Banking through NMLS. Money transmitters follow the Uniform Money Transmission Modernization Act amount formula in § 533C.802. Debt-management companies answer to the superintendent of banking with a per-office bond, while credit services organizations that must post security register that filing with the Secretary of State. Adjusters demonstrate financial responsibility to the Insurance Division.

What this hub does not treat as statewide license bonds

Iowa has no statewide general-contractor license bond comparable to some neighboring states’ GC boards. Ordinary debt collectors notify the Attorney General under the Iowa Consumer Credit Code but do not receive a collector license bond. The Secretary of State’s notary handbook states that Iowa does not require a notary surety. Out-of-state contractor registration under chapter 91C uses a separate $25,000 DIAL registration bond that is not the chapter 105 contractor-license instrument. Local city or county contractor and right-of-way bonds, project bid/performance/payment bonds, and court bonds remain outside this commercial-core set.

Iowa bond directory

Find your bond requirement

These guides cover license and permit bonds with verified educational content. Your agency notice or application checklist is always the final authority.

BondAgencyCommon amountHow you file

Who sets the requirement?

Iowa licensing agencies

Each agency below sets its own bond requirement. Open the related guide for amounts and filing steps.

Iowa Department of Transportation — Motor Vehicle Division

Licenses motor vehicle and towable recreational vehicle dealers and receives the $75,000 dealer surety.

Open related guide →

Iowa Plumbing and Mechanical Systems Board (DIAL)

Licenses chapter 105 contractors and requires the minimum $5,000 contractor surety under § 105.19 / 481 IAC 431.3.

Open related guide →

Iowa Division of Banking — Mortgage & closing agents

Licenses mortgage bankers, brokers, and closing agents through NMLS and receives chapter 535B sureties.

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Iowa Division of Banking — Money transmission

Licenses money transmitters under chapter 533C and receives § 533C.802 sureties.

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Iowa Division of Banking — Debt management

Licenses debt-management businesses under chapter 533A and receives $25,000-per-office sureties.

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Iowa Secretary of State — Credit services organizations

Receives chapter 538A registrations and $10,000 sureties or surety-account notices.

Open related guide →

Iowa Insurance Division — Adjusters

Licenses public and independent adjusters and requires financial responsibility under § 522C.7.

Open related guide →

Before you apply

Confirm these details from the agency notice

Bring these five items when you request a bond. For the full checklist, see how to read a bond requirement.

1
Confirm which chapter 105 disciplines your contractor license covers
One $5,000 contractor surety covers the entity’s plumbing or mechanical work under the board rules. You still need a master of record for each discipline in which the contractor operates.
2
Match the mortgage amount to prior-year residential volume
Bankers and brokers use $100,000 or $150,000 under 187 IAC 18.2. Closing agents use a separate $25,000 amount under the same chapter.
3
Do not confuse collector notification with a license bond
Iowa debt collectors may need Attorney General notification, but that path does not create a statewide collection-agency surety. Debt-management and credit-services filings are different credentials.

Learn more about surety bonds

Universal surety concepts explained once—linked here instead of repeated on every state or bond page.

Frequently asked questions

Do Iowa plumbing and HVAC contractors need different bonds?

No. Iowa Code § 105.19 and 481 IAC 431.3 require one contractor-license surety of at least $5,000 for the person or entity holding the contractor license. That instrument covers plumbing or mechanical work performed by the entity across the chapter 105 disciplines the contractor is authorized to offer.

Does every Iowa notary need a surety bond?

No. The Iowa Secretary of State’s notary materials state that Iowa does not require a notary bond. Errors-and-omissions insurance is optional personal coverage, not a commission surety.

Do Iowa collection agencies need a state surety bond?

Iowa does not license debt collectors or require a statewide collection-agency bond. Collectors who meet statutory criteria file notification with the Attorney General. Debt-management businesses under chapter 533A and credit services organizations under chapter 538A are separate filings with their own bonds.

Is the $25,000 out-of-state contractor bond the same as the $5,000 PMSB bond?

No. The $5,000 surety is the Plumbing and Mechanical Systems Board contractor-license requirement under chapter 105. Out-of-state contractors registering under chapter 91C file a separate $25,000 DIAL registration bond. Those are different programs.

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Iowa will be preselected in the application. Choose the bond type on the next step—we verify the current agency form before anything is issued.

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Last verified 2026-08-11. Official sources are retained with this guide and checked before publication.

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