Who requires it
Massachusetts Division of Banks
License & permit · Massachusetts
Massachusetts Debt Collector Bond
Massachusetts debt collectors licensed under G.L. c. 93 §§ 24–26 must maintain a twenty-five-thousand-dollar surety bond running to the state treasurer. Section 25 fixes that sum and conditions the bond on turning collection proceeds over as agreed. Licensing and related rules appear in 209 CMR 18, and applications run through the Division of Banks on NMLS. The Commissioner may require additional security when circumstances warrant.
Common bond amount
$25,000
Statutory amount under G.L. c. 93 § 25; the Commissioner may require additional security. Confirm current NMLS / Division instructions.
How you file
File through NMLS; bond runs to the state treasurer under G.L. c. 93 §§ 24–26
Renewal
Keep in force while licensed; replace before cancellation; meet any higher amount ordered
Who requires it
Persons and entities that must hold a Massachusetts debt collector license with the Division of Banks under G.L. c. 93 and 209 CMR 18. Loan servicer registration is a related Division process described on the same Mass.gov how-to page—confirm which credential and bond package apply to your activity before filing. This guide addresses the statutory debt-collector surety amount.
How much is required
G.L. c. 93 § 25 sets a twenty-five-thousand-dollar bond. The amount does not scale with portfolio size in the statute. Cancellation and related mechanics sit in § 26. Division regulations and the Commissioner’s licensing authority may call for additional bond or other security beyond the statutory minimum when the facts require it—follow the current NMLS checklist.
How to get and file it
Have an authorized surety issue a twenty-five-thousand-dollar debt collector bond meeting G.L. c. 93 §§ 24–26 and Division of Banks / NMLS form requirements, naming you exactly as on the license record. File through NMLS with the debt collector license application or renewal package. Keep the bond in force for the indeterminate period contemplated by §§ 24–26, subject to the cancellation rules in § 26. Replace coverage before any cancellation takes effect so the license does not lapse. Update the bond when the licensed legal name changes, and respond promptly if the Commissioner requires a higher amount.
Cost note
Twenty-five thousand dollars is the required bond amount, not the premium you pay. See bond amount vs premium. Bond amount vs premium →
Requirement checklist
- Required amount
- $25,000 surety bond under G.L. c. 93 § 25
- Authority
- G.L. c. 93 §§ 24–26; 209 CMR 18
- Filing channel
- Division of Banks debt collector licensing through NMLS
- Additional security
- Commissioner may require bond or other security above the statutory minimum
Official sources
Frequently asked questions
Is the Massachusetts debt collector bond always exactly $25,000?
Section 25 sets a twenty-five-thousand-dollar bond. The Commissioner may still require additional security when circumstances warrant. Use the current Division of Banks / NMLS checklist rather than assuming the statutory minimum is always the complete answer.
Where is the bond filed?
Debt collector licensing with the Division of Banks runs through NMLS. The bond runs to the state treasurer under the statute, but the live filing path and form are the Division’s NMLS package—follow the Mass.gov how-to for current steps.
Related Massachusetts bond guides
Credit Services Organization Bond
$10,000+
A Massachusetts credit services organization may not charge or receive money before fully performing agreed services unless it maintains a surety bond of at least ten thousand dollars and has established a trust account at a federally insured bank or savings and loan association located in the commonwealth. G.L. c. 93 § 68B states that dual requirement. Organizations that do not take advance fees are outside the bond trigger in that section.
Mortgage Broker / Lender Bond
$75,000 (broker); $100,000–$500,000 (lender)
Massachusetts mortgage brokers licensed under G.L. c. 255E keep a seventy-five-thousand-dollar surety bond that stays in force while licensed. Mortgage lenders post a surety sized to Massachusetts residential loan volume—one hundred thousand, two hundred fifty thousand, or five hundred thousand dollars—under Division of Banks Regulatory Bulletin 5.2-101 and 209 CMR 42.00. Bonds are filed electronically through NMLS. A firm that holds both a broker and a lender license must keep both bonds in force. Mortgage loan originators are ordinarily covered by the sponsoring company’s bond; an individual twenty-five-thousand-dollar bond applies only when that coverage is unavailable.
Money Transmitter Bond
$100,000–$500,000
Massachusetts money transmitters licensed under the Money Transmission Act, G.L. c. 169B, must maintain a surety bond satisfactory to the Commissioner of Banks. Section 9 sets the amount at the greater of one hundred thousand dollars or one hundred percent of the licensee’s average daily money transmission liability in the commonwealth for the most recently completed three-month period, capped at five hundred thousand dollars. The Division of Banks administers the license and security requirement.
Used Motor Vehicle Dealer Bond
$25,000
Massachusetts Class 2 used motor vehicle dealers must post a twenty-five-thousand-dollar surety bond—or equivalent proof of financial responsibility—under G.L. c. 140 § 58. The instrument runs for the benefit of retail buyers who suffer defined losses from title, payment, odometer, warranty, or deceptive-practice failures. Each distinct business name and each city or town where the dealer maintains a place of business needs its own bond. Municipal licensing authorities issue and renew Class 2 licenses and receive the bond or collateral filing.
Surety basics (not repeated here)
Universal surety concepts explained once—linked here instead of repeated on every state or bond page.
Continue with a Massachusetts application
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Last verified 2026-08-11. This guide is based on verified educational content and official sources.
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