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Why is a District of Columbia Credit Services Organization Bond Required?
The purpose of the credit service organization bond is to guarantee payment of any damages assessed against the consumer credit service organization in an action arising from a violation of state law. The surety bond may also be used to refund payments to consumers when a contract is canceled and the bonded credit service organization fails to make such payments. Lastly, the surety bond may be applied in the settlement of a consumer complaint filed government with authorities against a consumer credit service organization.
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