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surety bond

   Also found in: Dictionary/thesaurus, Encyclopedia, Wikipedia 0.02 sec.
Surety Bond
1. A fee that a security holder must pay to the security's issuer, should the holder lose the physical certificate. The holder receives a replacement certificate in exchange for the surety bond. A surety bond helps reduce fraud.

2. See: Blanket fidelity bond.

surety bond
An insurance fee required before a duplicate security is issued to replace one that has been lost. The fee is approximately 4% of the market value of the security to be replaced.

surety bond

See fidelity bond.



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According to Israel Mata, Regional Manager at Related, "Seventy percent of our residents in California already opt for the surety bond over paying a traditional security deposit at lease signing because they do not want to put up all that money up front.
State and federally funded projects require under the Miller Act (Federal) and Little Miller Act (State), that Surety bonds be provided to protect the public funds designated to the project.
The higher amount is more than double the previous $2 million maximum surety bond guaranteed by the SBA, according to the agency.
 
 
 
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